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Scott Thomson

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  1. Great thanks for the replies. Laurence, do you generally achieve the valuation you are hoping for?
  2. Thanks for this. Do you have any advice or can you point me in the direction of any articles/websites that would help me to understand the legal process of buying a property in Spain as a resident UK citizen, please?
  3. I'm sorry, I'm afraid I can't help, but I'm watching this thread with interest.
  4. I invest in the northeast in properties with just a bit more than this. Great returns, and long as you find the right areas that are in demand for rentals you should be fine. I find that if you go just slightly more than the 40k mark (say 50/60) you'll get a bit more pcm rent so it won't dent your yield too much, and there'll be fewer of these properties around so they let a bit more quickly. That's purely colloquial though - no actual stats to back it up.
  5. On a recent ask Rob and Rob podcast the guest talked about his strategy of buying, renovating and releasing equity after 6 months through a further advance. This has made me consider my strategy and I'm wondering if I might be able to speed up my investment, but I have a few questions around further advances, and I'd appreciate any advice anyone can give me on this. My current strategy has been to buy properties BMV that need a little bit of work, do the work and save the rental income and after two years remortgage at the higher value with maximum LTV. I then roll all of this cash into a fund to buy the next property. So far that has worked and I've achieved the value I have been looking for upon remortgaging. My plan is then to not take out any more equity from these properties for the foreseeable future so that as the properties go up in value they build in themselves a buffer against any future crashes. I'm now considering speeding this up by (instead of waiting the two years for a remortgage) getting a further advance after 6 months so I have the cash to invest sooner. The questions I have about this are: 1. Am I likely to be approved for a further advance if the uplift is mainly from buying BMV with only a slight refurb? There are several comparables within a few houses on the same street that show properties being sold for the same amount or more that I'm asking for within the last few years. I'm just not sure if they're stricter about giving a higher valuation with a further advance after 6 months than with a remortgage with a different company after 2 years? (I invest in a high yielding area in the North East so there won't be an issue with rental income to repayment ratio) 2. Obviously I would then effectively have two mortgages on the same house ending 6 months apart. Am I right in thinking that this isn't a problem because I'm not planning to take out any more equity, so I can just keep taking out new deals with the same mortgage provider for each of the loans? Are there any potential downsides to this that I'm missing? 3. I normally use a mortgage broker (who is excellent) but should I save the fee and apply for the further advance myself since I know which company I'm going with, or do mortgage brokers do more than apply and would they actually increase my chances of getting the uplift in value through the way they make the application? 4. Should I expect to pay a higher rate for a further advance, or is it usually comparable to the original mortgage? What kind of fees would you normally expect to pay? 5. Is there anything I'm not considering in this that I should think about? Thanks in advance for your help! Scott
  6. An episode on what landlords need to do to comply with GDPR would be great (both those who manage themselves and those who use an agent).
  7. Just a quick clarification question as I've just bought a repossession too. When I ring the gas and electricity supplier with the metre readings, are they able then to just switch back on the supply remotely (I'm guessing not?), or will they need to send someone out? If they need to send someone out do you know how long that usually takes?
  8. That was really helpful - that is so much easier to use and creates a much better outcome. Thanks again!
  9. Hi all, I'm about to manage one of my properties myself for the first time, and am looking to draw up an AST 6 month tenancy agreement. I've had a bit of a look around online to find a good template, and have come across one of the gov website, here https://www.gov.uk/government/publications/model-agreement-for-a-shorthold-assured-tenancy Does anyone have any experience of using this and is there anything I need to be aware of? Or could anyone point me to a better agreement if they know of one? Thanks, Scott
  10. If you already own your own home you could release equity from that. You could get a lodger in a spare room. If you rent, you could try to get an arrangement where you rent something bigger than you need and sublet spare rooms to cover your rent and thus be able to save more.
  11. It depends a little bit on how well you trust the sourcing company and/or your ability to do due diligence. In your local town/city, you'll know which areas to avoid and which to invest, but also within areas which streets to avoid and which to invest, and even which ends of street! When investing in another place, you can do the research but it's hard to get such specific, local knowledge as that. There are also questions about strategy here. If you're looking to buy BMV, release your deposit to reinvest, then I'd suggest buying local. To release the cash, you'll almost certainly need to invest in the property to add value (otherwise the banks will be reticent to give a further advancement), and that's much more difficult (but not impossible!) to do from a distance. There's something to be said, in my opinion, in sourcing etc your own first deal (or couple of deals) - you'll learn lots which will probably make investing at a distance in the future. All of this is my very inexperienced opinion - I'm looking for my first deal at the moment too, but have decided to go local for the above reasons.
  12. Let me add some info to what I'm asking, to try to help get the discussion going. I'll do that by means of a few scenarios. Perhaps your strategy is to buy single lets BMV, add value and get a further advancement to release as much cash as you can. When selling this strategy to a potential joint venture partner, what would be their 'win' out of this 'win win'? Let's say the deposit was £20k, with £10k needed for the work on the property. You put 15k of that in, they put in 15k. Here are some options of what I can see you might offer (though I'm not sure if any of these are realistic, so that's what I'm asking really): - You could offer them a % return once the further advancement on the mortgage is gained, but their money is tied up until then? So perhaps you say that once you get the advancement, you return their £15k, with a % for every month you've borrowed? What kind of % would you look at? - Or you could perhaps just give a flat rate - "lend me £15k, I'll pay you back £17k in 12 months time"? - You could show them the deal in advance - it's a 80k property which you'll let for £650pcm with a net profit of £200pcm (totally made up figures).. as they're putting in 15k and you're putting in 15k, you split that and they'll get £100pcm. This I presume you'd guarantee, even if it's untenanted, which is basically a return of 8% for them (but of course I could then re-finance etc to make the money work harder for me). You'd have to draw up an exit strategy for their investment too in this situation - what kind of things would be offered here? Are any of these the kind of deals people are doing with joint ventures? Are there any other permutations I've not considered?
  13. There are a couple of opportunities for joint ventures that I'm considering exploring, but I don't really know where to start. Can anyone recommend a good book, article or other source of info where I could begin to read up about what kind of deals people are creating with joint ventures? I'm not sure what others are offering to partners, and how this varies depending on strategy
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