GG – Today I’d like to talk about how to invest in property in 2020 and in particular, give you some really actionable content that I know will help you build your property business this year.
hi, this article is all about helping you achieve financial freedom through property . if this is your first time here be sure, before we dive in I’m not approved these are just going to be my personal opinions.
if that’s okay please please please do your own full and complete due diligence so i want to approach this in two different parts firstly i want to talk about what factors are influencing the property market in 2020 and secondly how you can use this to gain a huge advantage over the competition over other property investors and by the way if you want to wait until the very end of the article got something to share that I think you might find really really helpful.
so what’s influencing the property the market in 2020 well obviously the big conservative win at the back end of 2019 obviously has a massive impact on the property world doesn’t it i’m not a political beast by any means but I think surely all property investors would agree that a Corbyn win would have had a massively detrimental effect even more so than what’s been happening over the past couple of years on the property market, I believe there’s now some certainty in a good way.
there’s less negativity that’s out there is a property crash going to be happening in 2020 personally i don’t think it will i personally think it’s less likely now there might be a softening of prices.
again you’ve got to take your own view on this but i personally don’t think there will be projects that were on hold in the run-up to the election you know as soon as we got the conservative government back in again those projects largely move forwards again rent control the right to buy now seems to have kind of gone away at least for now so I’m kind of giving this whole market a bit of a tentative thumbs-up boring Brexit it’s definitely happening so what i hear you cry well the only reason I mention it now is will some foreign workers feel like they are going to be going back to their own country.
i think there’s a strong chance that that will have a negative effect on the demand for HMO rooms what about interest rates well again you’ve got to do your own due diligence here obviously but i think they’re going to be remaining low in the short to medium term again no guarantees you need to seek your own advice what i will say to you is what I’ve just done is I’ve gone through this the whole process of refinancing and i have absolutely nailed down the properties that I’ve got that have got mortgages on and some of my properties don’t have mortgages but I’ve nailed down the lowest possible rate on a sensible loan to value so can i maybe suggest you go and speak to your independent mortgage broker somebody with the access of the whole the market and you may be considered doing the same legislation obviously there was loads of new legislation in 2019 as most of us aware and there’s going to be more in 2020 I guess the big one that we’re talking about is section 21 being scrapped obviously, that’s being viewed very negatively um I’ve got to do an article on that actually uh is serviced accommodation legislation around the corner.
it might be possible I think one of the best things you can do is to educate yourself in this area the national landlord association the NLA do some really really good courses that cover legislation they’re also really cheap you may or may not be aware of the NLA and the la are due to merge and i think that will actually result in even better quality courses that they’re going to be putting out so maybe check that out tax changes are biting this is obviously the second time that landlords are being bitten by section 24 obviously we’re all aware of the 3 stamp duty on second properties I feel personally with the three percent thing I personally think that many properties investors are now just simply factoring it into all of their costs and it’s become a kind of a norm now nobody likes it I certainly don’t but i kind of think it’s just sort of accepted and it’s being factored in naturally some landlords are definitely retiring early though partly due to tax and partly due to legislation and as landlords exit the market.
and of course there’s a there’s a continued increasing demand i think a combination of those two things are going to mean that her rents can remain high generally speaking, talking about supply and demand certainly, there’s now I don’t think any question that in some in areas there is an oversupply of HMO rooms um not in all areas there’s certainly still scoping in lots and lots of areas.
but I think you’ve got to do some real research on this councils are desperate talking about supply and demand councils are desperate for housing they’re desperate for landlords to give them their houses and as a result of that they are often offering some really really big incentives you might want to check that out if you’re a landlord or maybe a single let perhaps it’s a little bit out of your area.
maybe have a chat with the councilor in that area and find out what they’re doing in terms of incentives and guarantees that they can give you over the property don’t forget we’re still a growing popular population despite Brexit and we’re still definitely not building enough properties and the last thing on this part of the of the article is i wanted to say what is happening to our high street uh obviously, we’re fully aware retail continues to die which is such a tragedy um but ultimately that is something we’re going to come to in a moment by the way if you’ll find this article in any way helpful it would be absolutely awesome if you could just click that like button down there it really helps me if that’s okay so how can you use the information I’ve just given you to gain any kind of an advantage in 2020.
well the first thing I want to say to you is that you must start connecting with landlords now if you’re watching this in the early part of 2020 i.e maybe this article just come out start connecting with landlords now or at least soon after they’ve got that tax bill coming because so many landlords are being hit with this second tax bill and they’re now looking around they and they’re thinking why am I doing this why am I still in this property world and then suddenly you get in contact with them, you connect with them, and you offer them some solutions maybe some creative solutions that really solve their problems so start connecting with landlords now focus on areas of demand I think is really important as I mentioned earlier especially when it comes to HMOs so you want to be looking for the places where there is a really great demand as I say especially if it’s HMOs and be wary of HMOs that are reliant on foreign workers in my opinion.
again I don’t want to name any specific areas but I’m very aware of some areas where um the tenants kind of culture in those HMOs is generally going to be you know foreign workers and I think that if we are going to see a decline in the number of people renting those places are going to get hit could you maybe repurpose some of those properties maybe into service accommodation maybe into studio studios this kind of thing um but again I’ve got another article coming out on that later on look another thing I want to share with you were looking for unsold auction lots um there are there are going to be several properties that go to the auction that don’t actually sell I think that is an absolutely amazing opportunity for you to get a fantastic deal um ultimately you’re still going to be looking for ways to add real value just because it hasn’t sold at auction doesn’t mean you’re naturally going to pick up a bargain here but you’ve got to think about the mindset for those people who have put that property into auction that was literally their last opportunity I would suggest to get that place gone and it doesn’t sell at auction what’s their mindset going to be like so you you should I think be looking out for properties that don’t actually, sell at auction, and by the way you should be going to auctions anyway especially throughout 2020 because i think there’s going to be some fantastic opportunities there and I’m certainly going to be doing a lot more of that I mentioned the high street earlier on but can I just say to I suggest you start looking for shops that is empty in secondary shopping areas now if you look at lots of not in necessarily the main high street but if you look in secondary areas you’ll often find shops that were originally houses well per square footage these can often be considerably less than a residential home than a c3 residential property so um can you maybe take on some of these convert them not necessarily just into us back into a single let but maybe you can take one of these and convert it into for example an
if in the area that you’re looking at there’s a big enough demand always focus on adding real value I talk about adding real value a lot so I’m not talking about a lick of paint and maybe a new kitchen I’m talking about you should be looking for places where you can add real tangible value the value that’s the way above what it actually costs you to add that value in the first place can I also suggest that you should be using the slump in values that we’re seeing at the moment and this sort of softening demand for bigger properties bigger houses I mean to maybe buy your own home possibly with a really big garden where you can then go for planning I’ve done this and made some really good money out of it i I kind of upped my game bought a big place uh stretched me a little bit but i got a big garden was able to build a house in the garden.
I’ve done projects like this before and it’s a great way for you to kind of I can’t really talk about the tax implications associated with this but if you’re buying it and living in it yourself you might want to have a little chat to an accountant about the tax implications of doing this speaking of tax become tax efficient if you want to email me I will give you with pleasure the details of my accountant he’s i think he’s very good but you should become very tax-efficient in this market I think it’s essential moving forwards as we move into 2020 above all, you’ve got to start taking loads of action I think this is going to be a year that you will look back on if you don’t take enough action I think this could be a year that you’ll look back on in future years and think why why why didn’t I take so much more action in 2020 I know I feel like that when I look back at a 2008 kind of thing I know 2008 2009.
I know I should have been taking more action then I think you might look back at this year in years to come and think I should have taken so much more action if you educate yourself on how this could bean incredible time for you to find some absolutely outstanding deals and with this in mind can I introduce you to my brand new property investing mini-course this is a completely free course if you haven’t already done this course you want to check it out it’s going to make a massive difference to you and it will teach you the fundamentals of how anna and I was able to actually replace our job-based income within 18 months with just a small handful of properties.
check it out it will really really help you because the truth is that the fundamentals still stand in property investing you need to look for areas of growth you need to ideally buy below market value and I’ve done a lot of this and you need to add substantial value if you do this honestly you could find that 2020 could be an absolutely outstanding year for you I know you’re gonna love my completely free property investing mini-course if you Click on the link here on the description box below you can get yourself enrolled and I’ll send lesson one straight out to