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Hi. I am new to this! :)


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Hi,

 

My name is Max. I am brand new to the property investment world.. perhaps a "late starter". I have always been intrigued by property investment but until now have always believed that I didn't have enough cash to get started. Having recently discovered property hub, the "fire in my belly" has been well and truly lit and simply learning the small amount I have, has transformed my mindset. 

 

I am keen to start a dialogue with anyone from this environment as I am keen to learn from any who will teach. I would welcome any advice and tips at any point throughout this journey. 

 

I am a soldier in the British Army, so would love to hear from any other military personnel who have already invested and have a story to tell.

 

All the best! 

 

Wilko

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Good morning @max-wilkinson

Welcome to the forum! Good to see you're ready to take your first steps into property investment (and it's never too late to get started ;))

As far as learning goes, we've got a wealth of courses and articles on Property Hub which should be your first port of call. We're big believers in setting goals at the start of your investment journey... it makes what can sometimes be an overwhelming task much more streamlined, and you'll benefit from being able to refer back to your goals no matter how far you progress.

This course is especially useful at the start of your journey, as it guides you through deciding which investment strategy will work best for you; https://propertyhub.net/course/which-property-strategy-is-right-for-you/

(And if you need any extra convincing, the Robs spoke about how goal setting can change your life in this early episode of The Property Podcast; https://propertyhub.net/podcast/how-goal-setting-will-change-your-life/)

Once you've narrowed down the kind of investment you want to take on, you'll almost certainly have more questions for the forum - so just come back here and let us know!

Mark Rocks
Community Builder and Content Writer

www.propertyhub.net

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Hi Max. Great to hear from you! Never think that you're too old or don't have enough money. If you are willing to do the work, then anyone can get started in property

I would be happy to connect with you. I have loads of free property articles on my website, if you want to take a look

What is your strategy plan? If you have a low deposit, then you might consider a cheaper location 

 

_______________________________________________________________________________________________________________________________
Vin Gupta
Property Investor and Developer
UK Property Blog: https://evolutionblogger.com/article/uk-property-articles
Travel Blog: https://soulfultravelguy.com/

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Hi,

 

Thanks for your message. I will be sure to take a look at your website. My strategy will be to buy and hold for the long term; with the intention of combining my rental income and future savings for subsequent deposits.

Yes, I have learned quite quickly that I will have to search for deals away from home as I live down south and quite simply cannot afford it. 

 

In regards to "when to buy"... Having now done the course on the 18 year property cycle, and trying too work out how the covid pandemic impacts that... I suppose right now I am wondering if I should wait until next year to buy? What do you all think?

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16 hours ago, max-wilkinson said:

Hi,

 

Thanks for your message. I will be sure to take a look at your website. My strategy will be to buy and hold for the long term; with the intention of combining my rental income and future savings for subsequent deposits.

Yes, I have learned quite quickly that I will have to search for deals away from home as I live down south and quite simply cannot afford it. 

 

In regards to "when to buy"... Having now done the course on the 18 year property cycle, and trying too work out how the covid pandemic impacts that... I suppose right now I am wondering if I should wait until next year to buy? What do you all think?

My advice is always clear. Don't try to time the market! If you buy a decent property at market price, then you'll make your money in the medium term

 

_______________________________________________________________________________________________________________________________
Vin Gupta
Property Investor and Developer
UK Property Blog: https://evolutionblogger.com/article/uk-property-articles
Travel Blog: https://soulfultravelguy.com/

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HI Max,

We started or property journey when my husband was in the army. Living in MQs left us worried that we wouldn't have anywhere to live when he left and with rent being less than market rates we were able to buy our first 1 bed rental. He is now retired and we have a small portfolio :) 

We spent a lot of time abroad so we used an agent and we had family close by to keep an eye on things for us. 

My advice - beware the 'specialist military' schemes for housing - not usually as good as they seem and just go the usual route - save hard for a deposit and then jump in! 

Its a great way to ensure you can afford somewhere to live when you leave the service so I would thoroughly recommend it.

Good luck :) 

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Hey Julia,

 

Thanks for your message. Great to have an input from someone who has been in my shoes. I am currently living in MQ's and I want to start property for exactly the same reason you did by the sounds of it. I am halfway through my service now and am really thinking about that transition back to civilian life once my time is up. Hopefully a couple more tours between now and then should help facilitate a cash injection here and there. 

 

Funny you should mention about the 'specialist military' schemes. I am currently working with a mortgage broker via forces mutual who has found me my first agreement in principal.. on the face of it, it looks good. But, I guess I wouldn't know because its the only one I have ever seen.. 

 

I have only gone through the process for the sake of experience as (due to it being a 'specialist military scheme') it cost me absolutely nothing. So my plan is just to use the A.I.P to seek viewings on properties I'm speculating on and soak up the experience. Wether I go through with it or not is another thing.

Really appreciate any comments you may have. Please pass on my respects to your husband!

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Hi Max,

Sounds like you have a plan! 

I don't know anything about Forces Mutual - they may be fine - I just know there have been problems in the past with 'Forces Specialists' so check exactly what fees you will pay and ask searching questions! Sometimes they claim 'specialist knowledge' which may or may not be required and people have a tendency to take the easy option. If they have access to camps &/or the mess people may take that as an endorsement of their services - which it is not! 

Mortgage brokers often offer you a 2 or 3 year fix that looks really good. If you take one of these you will have to remortgage in 2 or 3 years and pay fees again. If you are abroad (as we were) that then becomes difficult and potentially more expensive. We ended up with an ex-pat mortgage! So I would recommend either a lifetime tracker (so you never have to remortgage) or a 5 year fix or even longer - particularly if there is any chance of you being posted abroad. Look at the total cost of a mortgage over 5 years - not just the headline rate, and be sure you include all fees to compare.

Buy something that will rent not something you want to live in. Many Forces personnel buy their 'dream home' and then watch as tenants turn it into something less desirable - or don't want to move out when you want to move in. This is an investment - not your home! 

Buy in an area you have some support - someone to keep an eye on it - or somewhere you can get to easily. A coat of paint between tenants makes a huge difference and is something you can do yourself to keep costs down. You will need an agent, but don't abdicate all responsibility to them - it is your asset.

Be prepared for it not to make money to start with - it is your foot in the market so to speak, and as the value goes up so does your capital. Try to buy in an area where there is potential for capital growth as that will help you long term.

Remember to declare it to HMRC - you will need to pay tax on the rental. You also used to be able to declare that is your 'home' so you won't pay CGT when you sell it.

Don't believe all the stories you hear in camp form others who have made a fortune / not paid tax / know a bloke etc!!

Good luck on your journey :)

 

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