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ChrisB

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  1. Like
    ChrisB got a reaction from laura358 in Day jobs?   
    I know the main bulk of members here are property investors but what is your "main" job? Do you have a career in a property related area or are you from another walk of life and like to dabble in property as an additional income?
    I work in IT and have done so since I left school 15 years ago.
    If I was to change job, I'd love to develop a career in something property related but for now, the property world is a nice income to support my main IT salary.
  2. Like
    ChrisB got a reaction from jayproperties in Can any recommend a good broker   
    I've previously used Peter Vandervennin, someone who has been recommended by others here on the forum as well.  He was able to find me a lender for a re-mortgage criteria that other brokers were unable to find.
     
    I'm based in Cambridge and Peter is Dartford and we had no issues with contact with everything done through calls, email and the odd bit of more sensitive info sent special delivery.
     
    His email address is peter@thefinancialconsultancy.com
  3. Like
    ChrisB got a reaction from Paul M2 in East Anglia   
    I have a 2 bed terraced house in Bury St Edmunds, a 1 bed flat in Peterborough and a 2 bed terraced house in Spalding so will try to give an update on what I know about each area.
    My verdict on these is:
    Bury is a lovely town and prices are steadily on the increase ahead of neighbouring towns such as Stowmarket and Thetford and as a result achieve higher rental figures. Therefore it's a more expensive place to buy but if the correct property is found, you could be onto a winner. My property is worth about £165k, end of terrace, decent garden, garage and about a mile from the town centre and I get £650/m privately or if I was to go through an agent, it's previously been valued at achieving £700-725 a month. This is definitely one to keep as a long term investment due to decent rent and steadily improving value.
    Peterborough prices are extremely cheap compared to somewhere like Cambridge which considering its only half an hour away, is quite a surprise. My 1 bed flat is valued at about £69k and I get £495/m. Having been keeping an eye on the market there for the last year, prices aren't increasing a great deal but there is a huge demand for rental properties. Decent 1/2 bed flats can be found for £65-85k and would achieve rents of £425-525 a month and similarly 2/3 bed houses can be found for £95-125k with rental figures ranging from £500-650 depending on property, location, etc. Decent yields but minimal capital growth.
    The Spalding property covers the mortgage and fees and not much else. With slow value increase this would certainly be one to sell but we've kept it mainly due to the in-laws, who live abroad, possibly coming back and this would suit them as local to the rest of the family.
    I'm in the process of possibly building on the land next to my Bury house but if not feasible, I'm likely to remortgage and probably look at 1 or 2 more properties in the Peterborough area for immediate yield and use the profit from these to build up another deposit.
    Hope this proves to be of some help! :-)
  4. Like
    ChrisB got a reaction from Property61 in Property meet up - Peterborough, Cambridge and surrounding areas   
    Thank for creating this thread Abby!
    For anyone interested, and not local enough to an official meet-up, then even if you're only available to make the occasional trip to Alwalton (nr. P'boro), then it would be great to meet and see you all!
    We've had people attending from various areas of East Anglia, as well as others from Bedfordshire, Lincolnshire and Northamptonshire and have a varied mix of experience with everyone having their own story of how they're interested in a property 'journey'.
    Chris
  5. Like
    ChrisB got a reaction from Harry Jarvis in Peterborough and Stamford   
    Hi guys, @barry man, @ryan cook, @harry jarvis and gal, @holly edge 
     
    Good to see you all last night. Obviously we're all in different situations so great to hear a variety of insights and opinions and even for Barry, Holly and myself who've previously met, we all had changes in our own situation so good to hear the updates from you pair and to share my own situation.
     
    Would be good to look into the options of making this a more 'formal' arranged meet up to try to boost numbers but until then, looking forward to the next one in a few months when everyone is available!
     
    If anyone has any questions about anything, contacts, etc, feel free to contact me via PM and I'll be happy to give you a call, email, etc.
     
    Regards,
    Chris
     
    PS: Boiler engineer is STILL at the flat after replacing the pressure gauge and pressure release valve  so still waiting on final verdict!
  6. Like
    ChrisB got a reaction from Steve Morrall in Newbies   
    Hi Billy,
     
    You've certainly come to the correct place in terms of advice and guidance, the forum here has a vast amount of information if you spend some time reading through the the various sections and also listen to the podcasts http://thepropertyhub.net/podcast/
     
    With regards to your budget, there are plenty of areas around the UK where you will be able to find a property between £50k-£80k so have you got a preferred area in mind?  Whereabouts are you located?  Are you looking to do the job yourself or will you be hiring people to do the refurb for you?
     
  7. Like
    ChrisB got a reaction from barrymangan_me_com in Peterborough and Stamford   
    Monday 3rd July @ 19:00 is looking good for me 
     
    I'd hope by then to have a tenant in and be able to sit back and relax, so hopefully be able to give you all the gory details of the issues I faced in my refurb!
  8. Like
    ChrisB got a reaction from Alex Bacon in What is the best location to invest up north looking to get started in BTL.   
    I've had a quiet 10 mins at work so just knocked this up so hopefully it's understandable and remember, this is all estimates but based on 'realtime' figures of my current BTL flat(s).
     
    Cash funds available: 100k
     
    Looking at flats valued at £65k-70k but using £70k as the top end:
     
    £70k > 25% deposit (£17.5k) = £52.5k mortgage
     
    Deposit: 4 x £17.5k (25%) = £70k
    Solicitors: 4 x £1,500 = £6,000
    Stamp: 4 x 3% (£2,100) = £8,400
    Mortgage Fees: 4 x £1,000 = £4,000 (App, broker, survey)
     
    Initial outlay: 70k + 6k + 8.4k + 4k = £88.4k
    Remaining cash as contingency: £11.6k
     
    Mortgage details: £52.5k @ 2.94% = 1544/Yr > £129/m (Interest only / 2 year Fixed)
    Rent: £525/m 
    Agents: £63/m
    Service charge: £500/yr > £42/m
    Contingency: £75/m per prop
     
    In: 525
    Out: 129 + 63 + 42 + 75 = £309
     
    x 4 properties:
    In: 2100
    Out: 1236
     
    I - O: 864/m > £10,368/Yr
     
    There's also room for increase / decrease on the rent and service charges, I've used £525/m for rent and £500 per year for S.charges as my current BTL flat gets £525 for rent and service charge of about £275/y and the new BTL flat I'm buying has tenants currently paying £540/m but it has S.charge of £750/y so have gone in the middle for these.  Also, depending on agents and property being purchased you may be able to get less than £70k purchase price if buying multiple through the same agents or alternatively, you could get a decent property for £67.5 and use the extra towards another for £72.5, etc.
     
    Worth noting that the solicitor and mortgage costs are OVER estimates, I used the 2.94% as an example as I was recently offered that mortgage which had fee's of £495 and that inc. the survey, so if you were to get that, the £4k quoted would actually be £2k for the 4. In addition, I recently used the same solicitor for a residential re-mortgage and a new BTL purchase with mortgage and they gave me 20% discount so the BTL mortgage was actually £1050 and even pre-discount lower than the £1,500 I've quoted above so if you were able to use the same solicitors for 4 purchases, I would expect you could achieve atleast a 25% discount (£1.5k overall) making that £4.5k instead of the £6k quoted.  That would add £3.5k to the £11.6 making £15.1k.
     
    Also, I've added £75 a month per property basically because I like to always have between 1-1.5k per property 'in the pot' in the event of something bad happening but if you were to keep some of the £11.6 purely for that reason, you wouldn't have the need to save the mentioned £75/m so your profit would be £900 more per property (£3.6k) so your actual profit (before tax) would be nearly £14k at the end of year 1.
     
    Depending on what of your original £100k leftovers you use, whether it be £11.6k or £15k available, added to your potential profit of £10.3k or £14k as detailed above, you could have anything between £21k (£10k profit plus £11k contingency) and £29k (£14k profit plus £15k contingency).  This obviously doesn't cater for any tax being paid but hopefully you'll get an idea of the estimates I'm trying to supply.
     
    Anyway, as stated in my first sentence, the above are reasonably accurate estimates but even if you were to have £20k in your pot at the end of year 1, that would give you enough for a 5th property in the same kind of area as those above probably pushing yearly income to around £15k (remember tax!).
     
    As a final thought, with all of the above, you could potentially make overpayments on say 2 of the 4 in order to get down to a 70% or 65% LTV as come the end of the 2 year fixed, you will be able to remortgage all 4 and the 2 overpaid mortgage would drop to a much better rate and then re-mortgage all again on a mortgage at their respective rates, again making overpayments on the 2 and then at the next point of re-mortgaging, you may be able to release some equity back to the 75% LTV value giving you an extra £10k-£15k per property so £20k-30k but along with the extra 2 years worth of profits you could be back to having £40k - £50k available.
     
    Having read it all back, I now wish you good luck! (And that's mainly based on understanding the above!!) 
  9. Like
    ChrisB got a reaction from Naj in What is the best location to invest up north looking to get started in BTL.   
    I've had a quiet 10 mins at work so just knocked this up so hopefully it's understandable and remember, this is all estimates but based on 'realtime' figures of my current BTL flat(s).
     
    Cash funds available: 100k
     
    Looking at flats valued at £65k-70k but using £70k as the top end:
     
    £70k > 25% deposit (£17.5k) = £52.5k mortgage
     
    Deposit: 4 x £17.5k (25%) = £70k
    Solicitors: 4 x £1,500 = £6,000
    Stamp: 4 x 3% (£2,100) = £8,400
    Mortgage Fees: 4 x £1,000 = £4,000 (App, broker, survey)
     
    Initial outlay: 70k + 6k + 8.4k + 4k = £88.4k
    Remaining cash as contingency: £11.6k
     
    Mortgage details: £52.5k @ 2.94% = 1544/Yr > £129/m (Interest only / 2 year Fixed)
    Rent: £525/m 
    Agents: £63/m
    Service charge: £500/yr > £42/m
    Contingency: £75/m per prop
     
    In: 525
    Out: 129 + 63 + 42 + 75 = £309
     
    x 4 properties:
    In: 2100
    Out: 1236
     
    I - O: 864/m > £10,368/Yr
     
    There's also room for increase / decrease on the rent and service charges, I've used £525/m for rent and £500 per year for S.charges as my current BTL flat gets £525 for rent and service charge of about £275/y and the new BTL flat I'm buying has tenants currently paying £540/m but it has S.charge of £750/y so have gone in the middle for these.  Also, depending on agents and property being purchased you may be able to get less than £70k purchase price if buying multiple through the same agents or alternatively, you could get a decent property for £67.5 and use the extra towards another for £72.5, etc.
     
    Worth noting that the solicitor and mortgage costs are OVER estimates, I used the 2.94% as an example as I was recently offered that mortgage which had fee's of £495 and that inc. the survey, so if you were to get that, the £4k quoted would actually be £2k for the 4. In addition, I recently used the same solicitor for a residential re-mortgage and a new BTL purchase with mortgage and they gave me 20% discount so the BTL mortgage was actually £1050 and even pre-discount lower than the £1,500 I've quoted above so if you were able to use the same solicitors for 4 purchases, I would expect you could achieve atleast a 25% discount (£1.5k overall) making that £4.5k instead of the £6k quoted.  That would add £3.5k to the £11.6 making £15.1k.
     
    Also, I've added £75 a month per property basically because I like to always have between 1-1.5k per property 'in the pot' in the event of something bad happening but if you were to keep some of the £11.6 purely for that reason, you wouldn't have the need to save the mentioned £75/m so your profit would be £900 more per property (£3.6k) so your actual profit (before tax) would be nearly £14k at the end of year 1.
     
    Depending on what of your original £100k leftovers you use, whether it be £11.6k or £15k available, added to your potential profit of £10.3k or £14k as detailed above, you could have anything between £21k (£10k profit plus £11k contingency) and £29k (£14k profit plus £15k contingency).  This obviously doesn't cater for any tax being paid but hopefully you'll get an idea of the estimates I'm trying to supply.
     
    Anyway, as stated in my first sentence, the above are reasonably accurate estimates but even if you were to have £20k in your pot at the end of year 1, that would give you enough for a 5th property in the same kind of area as those above probably pushing yearly income to around £15k (remember tax!).
     
    As a final thought, with all of the above, you could potentially make overpayments on say 2 of the 4 in order to get down to a 70% or 65% LTV as come the end of the 2 year fixed, you will be able to remortgage all 4 and the 2 overpaid mortgage would drop to a much better rate and then re-mortgage all again on a mortgage at their respective rates, again making overpayments on the 2 and then at the next point of re-mortgaging, you may be able to release some equity back to the 75% LTV value giving you an extra £10k-£15k per property so £20k-30k but along with the extra 2 years worth of profits you could be back to having £40k - £50k available.
     
    Having read it all back, I now wish you good luck! (And that's mainly based on understanding the above!!) 
  10. Like
    ChrisB got a reaction from ozdrjohn in is there a price 'sweet spot' for flats in towns/cities north of london??   
    Hi John,
     
    I own 2 flats myself and have assisted friends with advice when they've also looked and these are all flats between the £67,500 to £75,000 range and these often give a respectable profit.
     
    As a couple of examples for 2 flats I own, my figures are as follows:
     
    Property 1:
    1 bed 1st floor flat - Completed Sept 2015
    Purchase price - £68,500 / Value now - £82,000
    Rent - £525 / m
    Mortgage - £132 / m (Interest only)
    Agents (10% + vat) - £63 / m
    Ground rent / Service charges - £350 / Yr > £30 / m
    £525 - £225 (£132/£63/£30) = £300 / m > £3,600 / Yr
     
    Property 2:
    1 bed Ground floor flat - Completed March 2017
    Purchase price - £73,500 / Value now - £85,000 (This increase is due to new kitchen and modernisation of bathroom and full decoration throughout)
    Rent - £575 / m
    Mortgage - £140 / m (Interest only)
    Agents (10% + vat) - £69 / m
    Ground rent / Service charges - £750 / Yr > £62.5 / m
    £575 - £271.50 (£140/£69/£62.5) = £303.50 / m > £3,642 / Yr
     
    As you can see, the overall yearly figures for both are nearly identical due to the higher Service charges of property 2 bringing the figure down but with the increased rent, helps to keep the figure at just over the £300 mark.  When I was looking at other properties in the build up to property 2, I did find a number of properties around the £70,000 mark which would achieve a rent of £495 / m but their service charges were between £1000 - £1750 per year due to age or location of the building.
     
    In addition though, although I'm not in the position to purchase another property at present, I still keep an eye on Rightmove and have recently seen another property on the market for £62,500 and the service charges were £250 / Yr with a monthly rent of £525!! Had I have had the money then this would have been of definite interest for me.
     
    Therefore in terms of a 'sweet spot', as you say, this isn't necessarily true assuming you don't have too high a level of expectations.  As above, I'm quite happy with the £300+ / m each flat gives me but I know of people who only look at properties of £450+ / m which just isn't possible in this area unless A) you have a bigger deposit or B) you have a much higher rent but to get that the property has to be bigger and / or newer and therefore the purchase price is much higher.
     
    There is always a bargain to be found...it's just a matter of keeping on the look-out!
  11. Like
    ChrisB got a reaction from corpx_propertyhub_usa_net in Buying Show Homes - Yes or No?   
    Funnily enough, I read this post at lunch and within the last 30 minutes, I too have received a similar email:
     
     
    The email I received is from a property sourcing company who I've been in contact with for nearly 5 years, but know of people who have purchased properties through them so know they are legit.
     
    I'm not in the position to go ahead with anything like this but am always tempted to get in contact with them for further info! 
  12. Like
    ChrisB got a reaction from Darren McNeill in Mortgage for under 50 k   
    Do you mind if I ask what kind of deal you got, as in were there high fee's attached or were you tied in for a certain amount of time?  Also, what is the value of the property and LTV? Interesting to see what your situation is / was
  13. Like
    ChrisB got a reaction from seahorse33_talktalk_net in What is the best location to invest up north looking to get started in BTL.   
    I've had a quiet 10 mins at work so just knocked this up so hopefully it's understandable and remember, this is all estimates but based on 'realtime' figures of my current BTL flat(s).
     
    Cash funds available: 100k
     
    Looking at flats valued at £65k-70k but using £70k as the top end:
     
    £70k > 25% deposit (£17.5k) = £52.5k mortgage
     
    Deposit: 4 x £17.5k (25%) = £70k
    Solicitors: 4 x £1,500 = £6,000
    Stamp: 4 x 3% (£2,100) = £8,400
    Mortgage Fees: 4 x £1,000 = £4,000 (App, broker, survey)
     
    Initial outlay: 70k + 6k + 8.4k + 4k = £88.4k
    Remaining cash as contingency: £11.6k
     
    Mortgage details: £52.5k @ 2.94% = 1544/Yr > £129/m (Interest only / 2 year Fixed)
    Rent: £525/m 
    Agents: £63/m
    Service charge: £500/yr > £42/m
    Contingency: £75/m per prop
     
    In: 525
    Out: 129 + 63 + 42 + 75 = £309
     
    x 4 properties:
    In: 2100
    Out: 1236
     
    I - O: 864/m > £10,368/Yr
     
    There's also room for increase / decrease on the rent and service charges, I've used £525/m for rent and £500 per year for S.charges as my current BTL flat gets £525 for rent and service charge of about £275/y and the new BTL flat I'm buying has tenants currently paying £540/m but it has S.charge of £750/y so have gone in the middle for these.  Also, depending on agents and property being purchased you may be able to get less than £70k purchase price if buying multiple through the same agents or alternatively, you could get a decent property for £67.5 and use the extra towards another for £72.5, etc.
     
    Worth noting that the solicitor and mortgage costs are OVER estimates, I used the 2.94% as an example as I was recently offered that mortgage which had fee's of £495 and that inc. the survey, so if you were to get that, the £4k quoted would actually be £2k for the 4. In addition, I recently used the same solicitor for a residential re-mortgage and a new BTL purchase with mortgage and they gave me 20% discount so the BTL mortgage was actually £1050 and even pre-discount lower than the £1,500 I've quoted above so if you were able to use the same solicitors for 4 purchases, I would expect you could achieve atleast a 25% discount (£1.5k overall) making that £4.5k instead of the £6k quoted.  That would add £3.5k to the £11.6 making £15.1k.
     
    Also, I've added £75 a month per property basically because I like to always have between 1-1.5k per property 'in the pot' in the event of something bad happening but if you were to keep some of the £11.6 purely for that reason, you wouldn't have the need to save the mentioned £75/m so your profit would be £900 more per property (£3.6k) so your actual profit (before tax) would be nearly £14k at the end of year 1.
     
    Depending on what of your original £100k leftovers you use, whether it be £11.6k or £15k available, added to your potential profit of £10.3k or £14k as detailed above, you could have anything between £21k (£10k profit plus £11k contingency) and £29k (£14k profit plus £15k contingency).  This obviously doesn't cater for any tax being paid but hopefully you'll get an idea of the estimates I'm trying to supply.
     
    Anyway, as stated in my first sentence, the above are reasonably accurate estimates but even if you were to have £20k in your pot at the end of year 1, that would give you enough for a 5th property in the same kind of area as those above probably pushing yearly income to around £15k (remember tax!).
     
    As a final thought, with all of the above, you could potentially make overpayments on say 2 of the 4 in order to get down to a 70% or 65% LTV as come the end of the 2 year fixed, you will be able to remortgage all 4 and the 2 overpaid mortgage would drop to a much better rate and then re-mortgage all again on a mortgage at their respective rates, again making overpayments on the 2 and then at the next point of re-mortgaging, you may be able to release some equity back to the 75% LTV value giving you an extra £10k-£15k per property so £20k-30k but along with the extra 2 years worth of profits you could be back to having £40k - £50k available.
     
    Having read it all back, I now wish you good luck! (And that's mainly based on understanding the above!!) 
  14. Like
    ChrisB got a reaction from Sinbin69 in Can any recommend a good broker   
    I've previously used Peter Vandervennin, someone who has been recommended by others here on the forum as well.  He was able to find me a lender for a re-mortgage criteria that other brokers were unable to find.
     
    I'm based in Cambridge and Peter is Dartford and we had no issues with contact with everything done through calls, email and the odd bit of more sensitive info sent special delivery.
     
    His email address is peter@thefinancialconsultancy.com
  15. Like
    ChrisB got a reaction from Dinesh Hirani in What is the best location to invest up north looking to get started in BTL.   
    Hi Toby,
     
    I can give some input into these areas.
     
    Assuming you have a reliable management company looking after your property then there is no reason why it would be a hassle.  After all, people have holiday lets in different countries and probably lead a reasonably hassle free life. I know people who are from East Anglia and have BTL's in Cornwall, Wales and Scotland and are completely "hands-off" because of the reliable agents (all different agents too I must add).
     
    As for investment in flats, this is something I have personal experience of as I have 2 houses and a flat as well as being in the process of buying another flat at the moment.  You're correct in that flats are generally cheaper and easier to maintain, but flats are mostly all leasehold, meaning you will have to pay a monthly or yearly service / ground rent charges.  In the area I have my (soon to be) 2 flats, these charges seem to vary between £250 per year (£21/m) and £1500 per year (£125/m) so as you can see, that's immediately £100/m difference in your income. Plus you need to consider the lease length which can be costly if running low (say under 70 years or so)
     
    In addition, flats in my area have a very slow capital increase whereas houses are increasing at a much better rate.  Also, from both my own experience and knowing friends with BTL's, tenants in flats generally have a higher turnover.  Especially if you were to rent to a younger singleton, who will eventually couple up, want a bigger place, etc, move out, whereas with a house, depending on the size, a singleton would be able to move their partner in and have more breathing space as spread over multiple floors.
     
    Therefore with regards to a house or flat, you need to look at what you want?  Quick easy money in your account each month with lower initial outlay for a deposit, low maintenance, low interest only mortgage? Then go for a flat, but as above, look at those with low service charges, whereas if you want a longer term profit through capital growth but with a higher rental amount, then a house is probably better value but you will have a higher initial outlay with a larger deposit.
     
    I'm not up to date with the podcasts available but I'm sure I've seen the House v Flat, Freehold v Leasehold question in several areas so expect there would be something available to give you a better input than to what I've just put!
     
    Good luck though and interested to hear what you decide on!
  16. Like
    ChrisB got a reaction from barrymangan_me_com in Letting agent advice   
    Hi Pippa,
     
    Considering the agent has been in place for 10 years and you have had continual issues with them, I'd say this in itself is probably some form of breach of contract.  Aside from this though, when was the last you signed any form of agreement with them?  The few agent's I've used have always had a minimum term, which is usually 12months in line with the tenant's AST agreement, have always had a line along the lines of "At the end of agreed period (E.g., 12months) the contract between the agent and landlord will remain in place until 1/3/6 months notice is supplied by the landlord, or on agreement, a shorter period of notice is agreed"....or similar, but I expect you see my point.
     
    For a landlord to move from an agent to privately managing their own properyt when having a long standing tenant certainly isn't uncommon and doubt the agent will have too much to moan about, after all, it sounds like you've been giving them money for 10 years or so and they are only doing 50% of their job!
     
    Good luck
  17. Like
    ChrisB got a reaction from barrymangan_me_com in Peterborough and Stamford   
    Great, thanks Peter.
     
    Just to confirm I've cleared it with the wife and I will definitely be in attendance! 
     
    See you all Friday!
  18. Like
    ChrisB got a reaction from Diego Francesco in Finding a solicitor   
    Over the last 3 years I've used Homeward Legal for my last 2 BTL mortgages, a BTL remortgage and my residential purchase.
     
    They act as a kind of middle man and assign an available conveyancing company to your case, whatever that may be.
     
    I've never had any issues with them at all and they always come out cheaper than normal run of the mill conveyancing companies 
  19. Like
    ChrisB got a reaction from Damian P in Should I let former tenant back into flat to touch up paint work?   
    Hi Damian,
     
    Generally a tenant is aware they have to 'make good' any damage they might make during their tenancy so in your situation I would say it really depends on what kind of relationship did you have with your tenant and their reason for leaving?
     
    If they are leaving of their own accord, new property, relocation, unable to afford it, etc and have moved out on time with all rent paid then why would they look to damage the property if they were to return?  If they have left on bad terms, unpaid rent, tenancy ended on your instruction, etc then yes, you probably do have cause for concern if they hold a grudge.
     
    So...the inspection report has obviously been done so you have a mutual party who has seen the property in it's current state.  Therefore if you were to have the former tenant in to do the work and they were to damage the property then you have a witness, and written evidence, of what it was prior to the former tenant returning.
     
    In addition, I presume the deposit is yet to have been given back?  If no, then if anything was to have been damaged then that would come out of their deposit anyway so you have both that and the inspection report on your side.
     
    Are you aware of the former tenants decorating business? If they have their own business which is entering peoples homes then returning to your property to damage it is only going to damage their own reputation if they were to go down that route, plus if done properly and they are good at what they do, not knowing your own decorating abilities, they would hopefully do you a decent job.  You could even use this to your benefit and say would they redecorate the whole property / an additional room, etc so they know that going forward you may actually be wanting to reuse their services?
     
    For me, I have had tenants I've kicked out or left on bad terms and would 100% refuse them any access to my property where as others who have left on good terms, then yes, I'd let them return if they were wanting to do it to save losing some of their deposit.
     
    It's a tough call and really comes down to trust....how well do you trust them from their period of living in your property!?
     
    PS: Reading this back, I hope it's not just confused the situation! haha 
  20. Like
    ChrisB got a reaction from Alexissoi in Day jobs?   
    I know the main bulk of members here are property investors but what is your "main" job? Do you have a career in a property related area or are you from another walk of life and like to dabble in property as an additional income?
    I work in IT and have done so since I left school 15 years ago.
    If I was to change job, I'd love to develop a career in something property related but for now, the property world is a nice income to support my main IT salary.
  21. Like
    ChrisB got a reaction from Sara Thomas in Just completed my first purchase!... How do I get the money for my second?   
    Hi Grantposs,
     
    As you say you've just completed on your first property, what period, if any, have you got your initial mortgage over, 2yr /5yr fixed, etc?  If no set period then I believe a lot of lenders will allow you to remortgage after 6 months but obviously if you're in a fixed period, this will incur a financial penalty.
     
    Therefore, seems as you are still quite early on in your property venture, I'd suggest that as there are 3 of you and assuming you can all afford it, make over-payments, whether that be £25/£50/£100 each per month, over the course of the year that will be £900/£1800/£3600 knocked off your balance at the end of your planned 2 years and therefore will put you in a good position if you were to remortgage this property and even on the 80% LTV, this should be easily achievable if you already managed an 18% deposit at the time of purchase, assuming there is also some increase in value.  Or, you could all just put money into a pot as savings for the next deposit, although overpayments on the existing mortgage is likely to be more beneficial.
     
    Besides over-payments and increasing the equity, if your savings are now almost empty, there are little options available that I can think of to generate the cash that is likely to be required at this early stage.
     
    Good luck to you though, in theory all sounds like a good plan and one that is achievable and could set you up for many years.
  22. Like
    ChrisB got a reaction from Mikebarrett in East Anglia   
    Yes, I know several people who own properties in both Mildenhall and Lakenheath which are where 2 of the main bases are and they are currently considering their options.  Do they sell now and beat the potential flood of houses on the market at the time of the closures while probably gaining maximum price, or do they hold on to them and hope they can still find non base tenants but still knowing the value may drop a little.
     
    Having lived and worked in Bury for the last 15 years I'm confident that in the town itself, there will still be a high demand for rental properties because the salary for many here is still far too low to get them on the property ladder, especially while the values are still slowly increasing as they have over the last few years.
     
    Also Mike, I also work in BSE so depending on your availability, if ever you're free one lunch would be good to have a meet up and share views, experience, etc.  As yet, I've not been able to meet anyone from here so would be good to start doing so! 
  23. Like
    ChrisB got a reaction from Marion Baxter in Looking for peace of mind   
    Hi Karen,
     
    Sorry to hear about your husband. Clearly this isn't the dilemma you'd choose to be in under the circumstances but hopefully you've come to the right place to get some advice from property 'regulars', although I expect your ultimate solution will be a financial advisor / broker.
     
    On first glance, the LTV figures jump out as being very high for 3 of your BTL properties and I expect to re-mortgage those would probably be quite tricky with a number of lenders but as you say, if you've managed to get a low rate on 3, and looking at the mortgages, I'd assume this low rate relates to property 1,2 and 3?  I'd also assume all 5 mortgages are interest only?
     
    On the whole though, when looking at overall figures, the total value of your portfolio is £480k, with the total borrowed at £374k which across your 5 BTL's is an average LTV of 78% and therefore not a bad LTV figure.  Individually they are as follows:
     
    1 - £85k - £76k > LTV 90%
    2 - £95k - £83k > LTV 87%
    3 - £85k - 81k > LTV 95%
    4 - £120k - 65k > LTV 54%
    5 - £95k - 69k > LTV 73%
     
    Forgetting about your comments regarding the idea of a new house with annex / cottage, my comments are solely based on your existing 5 BTL's and what I'd probably look to do in this situation but ultimately, if you feel the idea of the holiday cottage is the one for you for ease of locality, friends / family visiting, etc, then you should go for what will give you peace of mind and a less stressful life.
     
    As mentioned above, your overall LTV is around 78% but in my optinion, individually, properties 1,2 & 3 need to be addressed to lower the LTV and the only option for me would be to look at the figures for property 4 which has a healthy LTV of 54%. Property 5 is just below 75% LTV but to remortage that up to the 75% or even 80%, when you add in fee's, valuation, etc, wouldn't really be worth it so best to leave that as is. 
     
    Therefore, property 4 could solve a lot of the problems all by itself.  Currently at 54% LTV if valued at £120k, you could remortgage / request additional borrowing up to the 75% LTV figure which would be £90k, freeing up £25k. This £25k could then be put towards property 1 (£8k) and property 3 (£13k) which would bring both of these down to the 80% LTV
     
    1 - £85k - £76k > LTV 90% @80% LTV = £68,000 so £8k required
    3 - £85k - 81k > LTV 95% @ 80% LTV =  £68,000 so £13k required
     
    That will total £21k of your £25k and therefore you'll have £4k remaining to go towards fee's, etc if you didn't want to add these to the loan.
     
    You could even look at pushing property 4 to 80% at £96k, freeing up £31k, which would then allow you to split between 1,2 & 3 to 80% LTV's at £8k, £7k and £13k respectively and again, with the remaining £3k, this could go towards valuation or admin fees with anything remaining being added to the loans.
     
    1 - £85k - £76k > LTV 90% @ 80% LTV = £68,000 so £8k required
    2 - £95k - £83k > LTV 87% @ 80% LTV = £76,000 so £7k required
    3 - £85k - 81k > LTV 95% @ 80% LTV =  £68,000 so £13k required
     
    With regards to the fee's, whether it be £4k or £3k remaining, this should cover the basic valuation fee and some admin fee's and the main mortgage set-up fees could all be added to the loan itself and therefore you should'nt need to use too much, if any, of your own money.
     
    So all 5 BTL's, you'd then be in this position:
     
    1 - £85k - £68k > LTV 80%
    2 - £95k - £76k > LTV 80%
    3 - £85k - 68k > LTV 80%
    4 - £120k - 90k > LTV 75% / £96k > 80%
    5 - £95k - 69k > LTV 73%
     
    In summary, properties 1,2 and 3 would all be in a far better position, with the monthly mortgage dropping as well therefore giving more profit, property 5 hasn't changed at all and the only 'negative' being property 4 having an increase in mortgage but by doing this 1 'negative' for an additional £25k - £31k, you've made 3 'postive' moves.  Plus, with the increase in profit from property 1,2 & 3, you could make overpayments on property 4 to cover the monthly increase.
     
    I've tried to break it down as much as possible without making it too complicated so hopefully it makes sense
     
    Good luck to you and hope you can get things sorted to allow you to have a stress free BTL set-up
     
    Regards,
    Chris
  24. Like
    ChrisB got a reaction from Andrew Martins Tonks in Looking for peace of mind   
    Hi Karen,
     
    Sorry to hear about your husband. Clearly this isn't the dilemma you'd choose to be in under the circumstances but hopefully you've come to the right place to get some advice from property 'regulars', although I expect your ultimate solution will be a financial advisor / broker.
     
    On first glance, the LTV figures jump out as being very high for 3 of your BTL properties and I expect to re-mortgage those would probably be quite tricky with a number of lenders but as you say, if you've managed to get a low rate on 3, and looking at the mortgages, I'd assume this low rate relates to property 1,2 and 3?  I'd also assume all 5 mortgages are interest only?
     
    On the whole though, when looking at overall figures, the total value of your portfolio is £480k, with the total borrowed at £374k which across your 5 BTL's is an average LTV of 78% and therefore not a bad LTV figure.  Individually they are as follows:
     
    1 - £85k - £76k > LTV 90%
    2 - £95k - £83k > LTV 87%
    3 - £85k - 81k > LTV 95%
    4 - £120k - 65k > LTV 54%
    5 - £95k - 69k > LTV 73%
     
    Forgetting about your comments regarding the idea of a new house with annex / cottage, my comments are solely based on your existing 5 BTL's and what I'd probably look to do in this situation but ultimately, if you feel the idea of the holiday cottage is the one for you for ease of locality, friends / family visiting, etc, then you should go for what will give you peace of mind and a less stressful life.
     
    As mentioned above, your overall LTV is around 78% but in my optinion, individually, properties 1,2 & 3 need to be addressed to lower the LTV and the only option for me would be to look at the figures for property 4 which has a healthy LTV of 54%. Property 5 is just below 75% LTV but to remortage that up to the 75% or even 80%, when you add in fee's, valuation, etc, wouldn't really be worth it so best to leave that as is. 
     
    Therefore, property 4 could solve a lot of the problems all by itself.  Currently at 54% LTV if valued at £120k, you could remortgage / request additional borrowing up to the 75% LTV figure which would be £90k, freeing up £25k. This £25k could then be put towards property 1 (£8k) and property 3 (£13k) which would bring both of these down to the 80% LTV
     
    1 - £85k - £76k > LTV 90% @80% LTV = £68,000 so £8k required
    3 - £85k - 81k > LTV 95% @ 80% LTV =  £68,000 so £13k required
     
    That will total £21k of your £25k and therefore you'll have £4k remaining to go towards fee's, etc if you didn't want to add these to the loan.
     
    You could even look at pushing property 4 to 80% at £96k, freeing up £31k, which would then allow you to split between 1,2 & 3 to 80% LTV's at £8k, £7k and £13k respectively and again, with the remaining £3k, this could go towards valuation or admin fees with anything remaining being added to the loans.
     
    1 - £85k - £76k > LTV 90% @ 80% LTV = £68,000 so £8k required
    2 - £95k - £83k > LTV 87% @ 80% LTV = £76,000 so £7k required
    3 - £85k - 81k > LTV 95% @ 80% LTV =  £68,000 so £13k required
     
    With regards to the fee's, whether it be £4k or £3k remaining, this should cover the basic valuation fee and some admin fee's and the main mortgage set-up fees could all be added to the loan itself and therefore you should'nt need to use too much, if any, of your own money.
     
    So all 5 BTL's, you'd then be in this position:
     
    1 - £85k - £68k > LTV 80%
    2 - £95k - £76k > LTV 80%
    3 - £85k - 68k > LTV 80%
    4 - £120k - 90k > LTV 75% / £96k > 80%
    5 - £95k - 69k > LTV 73%
     
    In summary, properties 1,2 and 3 would all be in a far better position, with the monthly mortgage dropping as well therefore giving more profit, property 5 hasn't changed at all and the only 'negative' being property 4 having an increase in mortgage but by doing this 1 'negative' for an additional £25k - £31k, you've made 3 'postive' moves.  Plus, with the increase in profit from property 1,2 & 3, you could make overpayments on property 4 to cover the monthly increase.
     
    I've tried to break it down as much as possible without making it too complicated so hopefully it makes sense
     
    Good luck to you and hope you can get things sorted to allow you to have a stress free BTL set-up
     
    Regards,
    Chris
  25. Like
    ChrisB got a reaction from Wes Boswell in Looking for peace of mind   
    Hi Karen,
     
    Sorry to hear about your husband. Clearly this isn't the dilemma you'd choose to be in under the circumstances but hopefully you've come to the right place to get some advice from property 'regulars', although I expect your ultimate solution will be a financial advisor / broker.
     
    On first glance, the LTV figures jump out as being very high for 3 of your BTL properties and I expect to re-mortgage those would probably be quite tricky with a number of lenders but as you say, if you've managed to get a low rate on 3, and looking at the mortgages, I'd assume this low rate relates to property 1,2 and 3?  I'd also assume all 5 mortgages are interest only?
     
    On the whole though, when looking at overall figures, the total value of your portfolio is £480k, with the total borrowed at £374k which across your 5 BTL's is an average LTV of 78% and therefore not a bad LTV figure.  Individually they are as follows:
     
    1 - £85k - £76k > LTV 90%
    2 - £95k - £83k > LTV 87%
    3 - £85k - 81k > LTV 95%
    4 - £120k - 65k > LTV 54%
    5 - £95k - 69k > LTV 73%
     
    Forgetting about your comments regarding the idea of a new house with annex / cottage, my comments are solely based on your existing 5 BTL's and what I'd probably look to do in this situation but ultimately, if you feel the idea of the holiday cottage is the one for you for ease of locality, friends / family visiting, etc, then you should go for what will give you peace of mind and a less stressful life.
     
    As mentioned above, your overall LTV is around 78% but in my optinion, individually, properties 1,2 & 3 need to be addressed to lower the LTV and the only option for me would be to look at the figures for property 4 which has a healthy LTV of 54%. Property 5 is just below 75% LTV but to remortage that up to the 75% or even 80%, when you add in fee's, valuation, etc, wouldn't really be worth it so best to leave that as is. 
     
    Therefore, property 4 could solve a lot of the problems all by itself.  Currently at 54% LTV if valued at £120k, you could remortgage / request additional borrowing up to the 75% LTV figure which would be £90k, freeing up £25k. This £25k could then be put towards property 1 (£8k) and property 3 (£13k) which would bring both of these down to the 80% LTV
     
    1 - £85k - £76k > LTV 90% @80% LTV = £68,000 so £8k required
    3 - £85k - 81k > LTV 95% @ 80% LTV =  £68,000 so £13k required
     
    That will total £21k of your £25k and therefore you'll have £4k remaining to go towards fee's, etc if you didn't want to add these to the loan.
     
    You could even look at pushing property 4 to 80% at £96k, freeing up £31k, which would then allow you to split between 1,2 & 3 to 80% LTV's at £8k, £7k and £13k respectively and again, with the remaining £3k, this could go towards valuation or admin fees with anything remaining being added to the loans.
     
    1 - £85k - £76k > LTV 90% @ 80% LTV = £68,000 so £8k required
    2 - £95k - £83k > LTV 87% @ 80% LTV = £76,000 so £7k required
    3 - £85k - 81k > LTV 95% @ 80% LTV =  £68,000 so £13k required
     
    With regards to the fee's, whether it be £4k or £3k remaining, this should cover the basic valuation fee and some admin fee's and the main mortgage set-up fees could all be added to the loan itself and therefore you should'nt need to use too much, if any, of your own money.
     
    So all 5 BTL's, you'd then be in this position:
     
    1 - £85k - £68k > LTV 80%
    2 - £95k - £76k > LTV 80%
    3 - £85k - 68k > LTV 80%
    4 - £120k - 90k > LTV 75% / £96k > 80%
    5 - £95k - 69k > LTV 73%
     
    In summary, properties 1,2 and 3 would all be in a far better position, with the monthly mortgage dropping as well therefore giving more profit, property 5 hasn't changed at all and the only 'negative' being property 4 having an increase in mortgage but by doing this 1 'negative' for an additional £25k - £31k, you've made 3 'postive' moves.  Plus, with the increase in profit from property 1,2 & 3, you could make overpayments on property 4 to cover the monthly increase.
     
    I've tried to break it down as much as possible without making it too complicated so hopefully it makes sense
     
    Good luck to you and hope you can get things sorted to allow you to have a stress free BTL set-up
     
    Regards,
    Chris
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