About Susan Alexander

Connect with me : Google+ Susan Alexander is a leading Property Coach, Investor and Entrepreneur. She has helped clients to achieve their maximum potential, utilizing her coaching experience in the specialist field of property mentoring. She has coached clients to build profitable property portfolios, generate greater clarity, motivation and self-belief in both life and business. She is passionate about making a difference to other peoples’ lives, especially those affected by difficult and challenging circumstances.

Main Issues to Consider in Rent to Rent

Rent to rent is a property investment strategy which allows property investors who do not have the capital to outright buy a property, rent from a landlord with the purpose of multi letting to tenants. Rent to rent is an effective way of generating income whilst investing less.

https://digitrading.biz/it/trading-forexcfd/ forex trading and how it works Making Sure You Are Covered

Rent to rent does however come with potential issues which must be considered before investing in order to avoid making any potentially costly mistakes. If you are planning on sub letting, it is imperative that the Landlord understands your intentions with the property. The reason for this being, they may not be covered for that particular type of venture.

http://www.doublezerosolutions.co.uk/dat/8867 HMO Licensing

In some areas of the UK, if a property is intended to be rented out to multiple occupants, it has to pass the HMO (house of multiple occupancy) rules in order to obtain an HMO licence from the relevant local authority. We won’t list the specifics of what is required from a property in order to pass, but it is important you make sure the property is licensed if required. This is both the Landlord and your responsibility.

follow Landlord Property Insurance

Landlord Property Insurance must be considered before sub letting. It is not a legal requirement, however in the event of the building being damaged by a fire, flooding etc, you may be stung with a costly bill of repairs as the tenants are now your responsibility. It is important to shop around and find the policy that best suits your intentions with the property.

fxcm trading station pivot points What Contracts Need To Be In Place

Contractual obligations such as the property owner being bound by a clause in their mortgage contract, can mean traditional subletting and tenancy agreements are not appropriate. If a property owner still has money to pay on their mortgage and their mortgage agreement specifies they may not sublet, you and the owner will need to draft a management contract.

Management contracts involve you paying the owner a monthly fixed sum for managing their property, in this case you will draft your own rental agreements. This ensures that no subletting is happening on the owner’s behalf which may infringe their own mortgage agreement.

http://www.chalkstreamflyfishing.co.uk/dau/3753 Educate Yourself Before Doing Anything

The world of property can be difficult to navigate for newcomers and those experienced in the sector. Many potential mistakes along the way have the potential to hinder your return on investment, so it is important to first entirely understand every aspect of subletting before investing your time or money.

What is a Rent to Rent Strategy

http://stmarymagdalenbrighton.org/daz/1637 As a business dedicated to providing clear and direct advice on a range of property investment strategies, ownership and management, The Property Mentor is here to answer any questions that you may have.

signal forex yang tepat A phrase that has become very popular with entrepreneurial property professionals taking their first strides into the property market, and one that we’ve repeatedly been asked to clarify recently is rent-to-rent.

maxiforex ru What is Rent-to-Rent?

Rent-to-rent is the process whereby a tenant elects to rent a single property from a landlord and then decides to convert it into a house of multiple occupancy (HMO), inviting more tenants to share the property by renting them a room.

The process is especially attractive to entrepreneurial professionals who wish to gain an income from a property that they’re currently renting from a landlord. This is 100% legal – providing that the landlord is aware of, and agrees to the intentions of their tenants.

Rent-to-rent can also be especially attractive to landlords with properties that they haven’t the time to actively manage, are happy taking a small income from tenancy, and agree to allow tenants to convert the property from single to a multi-occupancy.

see url How Rent-to-Rent Works

Once a tenant agrees to rent a property, they’re responsible for making sure that the single-let cost of renting the property is paid to the landlord each month.

The rental cost of the property includes a profit margin for the landlord – once the mortgage and monthly property running costs have been accounted for. This is the single let rate and represents a monthly return on a landlord’s investment.

A multi-let or rent-to-rent property gives tenants the opportunity to make a profit margin on their rental costs each month by charging rent to the tenants they have invited to share the property.

http://skylineaviationsales.com/dal/7243 The Takeaway

In simple terms, rent-to-tent is the process whereby tenants agree to rent a property from a landlord whilst simultaneously earning a rental income by letting space within the property to one or more additional tenants.

 

How Do I Find Lease Options

One of the more common questions investors ask about their property investment options is how to find vendors to discuss the possibility of a purchase lease. The Property Mentor can provide expert knowledge to anyone wishing to find out more about purchase lease options.

http://halsofokus.se/dqs/1494 Targeted Approach

There is one fundamental difference between finding vendors willing to consider purchase lease options and vendors solely interested in a standard property exchange and that is how you target vendors. Investors who adopt a targeted approach will be able to match their investment goals with the ambitions of vendors.

When undertaking any form of property lead generation activity, it’s paramount to streamline your demographic and take a targeted approach. This gives investors the best possible opportunity to connect with property owners willing to consider purchase lease options.

http://www.cdg.com.au/dqh/7413 Purchase Lease Defined

The process whereby tenants agree to rent a property from the owner for an agreed period and then purchase the property once they have secured the necessary finance, is known as purchase lease.

We’ve previously covered everything that you need to know about purchase leases in our video ‘What is a Purchase Lease Option?’ To learn more, click the link here.

http://www.kulturring-strassburg.at/dad/9805 Simple Property Marketing

Given that purchase lease options cover long term property rental and eventual ownership, there are several property marketing exercises for investors to engage in.

Effective property marketing doesn’t have to be complicated. You could write a short professional letter or colourful postcard outlining your interest in renting long-term before buying a property in your local area and then distribute them to properties that pique your interest.

This approach is employed by estate agents across the UK to proactively find homeowners that are willing to sell their home. Most homeowners will have experienced receiving a letter like ‘Mr and Mrs. X have a budget of X amount and are looking to buy a property on your street. Please call (telephone number) if you’re interested.’ This is an example of proactive and simple property marketing.

The benefit to this approach is that you can appeal directly to homeowners who are interested in renting or selling their home. Each letter or postcard should be simple and friendly. Make sure that you include your contact details to make it as easy as possible for interested parties to contact you.

However, there are many other ways that you can target landlords or find tenants that are currently renting a property on a short-term contract who would prefer a long-term lease with the option to buy.

http://maestroandco.com.au/dqj/1219 Further Actions to Consider

There’s still a wealth of homeowners that use private adverts to sell property. It’s always worth checking online and print property publications and resources. You may just find the perfect lease option.

You could also contact local or regional estate agents. They may have property listings that aren’t generating much interest amongst buyers. This gives you the opportunity to propose a long-term let as a solution.

Choosing the right property

Astute property investment begins by choosing the right property. The primary consideration for any investor should always be the amount of money that you intend to spend when buying the property.

However, if you’re looking to make a month-on profit from your investment, it’s paramount that you consider the ongoing costs of ownership.

Leveraging the Costs

Let’s say that you want to purchase a property for £100,00. When making the purchase, most homeowners choose to leverage the cost by borrowing from the bank.

Once you know your monthly mortgage repayments, many people only consider one factor – what can I rent the property for each month versus the cost of the monthly mortgage repayments?

Using our example, and depending on the type of mortgage you opt for, your monthly mortgage repayments may cost £300 per month, with a property has a rental potential of £550 per month. Does that mean that each month you will achieve a £250 profit for the length of time that you rent the property? Not necessarily.

Property Running Costs

It’s fine to calculate that our example will yield a £250 profit for investors each month, however this is without considering the ongoing costs of running the property.

By not considering the ongoing running costs of your investment, you risk not achieving a higher month-on-month yield.

Just as you should consider the cost of purchasing the property to help you understand the right mortgage for you, understanding what you will have to pay towards the monthly running costs is also essential.

Without a meticulous understanding of the cost to purchase and the monthly running costs, you won’t be able to calculate an accurate monthly rental price – one that covers your mortgage and the ongoing property running costs.

In addition, to effectively manage the property, a letting agent will be required. You should also factor in any maintenance costs, and any potential transitional periods where you will be without a tenant and rental income. Other property running costs also include building insurance.

How Much Should You Put Aside for the Property Running Costs?

There is no accepted amount or percentage that investors should devote to the running costs of a property. However, there is a way that you can calculate the amount necessary for your property running costs.

The cost of managing the property through a lettings agent should be approximately 10% of your mortgage costs. Any property insurance should cost around £20 a month. To effectively cover any maintenance and property rental voids, you will need to devote approximately 10% of the total monthly rental income.

The Takeaway

These simple calculations can help you to understand the amount of profit that you can expect to make from property you intend to rent, and understand if it’s a sound financial investment.

Finding deals

The first question that property investors enrolling on our property mentoring and coaching programmes have is about finding great deals.

With some tested and proven strategies, it is possible to strike gold with each property, and raise your credibility and confidence as a smart property investor.

Zero in on Repossessed Properties

Properties reach possession stage when the owner fails to clear the mortgage on the property. Banks offer attractive discounts on such properties as they usually want to clear the pending loan as soon as possible. In addition, delay in selling the property forces them to spend on its management.

Given these drawbacks, banks show willingness for negotiations that can greatly work in your favour. Local estate agents, neighbourhood residents, welfare associations, and public records, are your valuable sources of information on repossessions.

Gather Local Knowledge and Build Trust

Narrow down your focus to a target market. Gather local information on recent divorces, bankruptcies, probate and evictions. Most of such information is available through public records. This strategy will give you a clear direction to base your efforts on.

Follow up with the people concerned through post cards, email, and phone before meeting them in person. People usually have a sentimental attachment to their properties. It is therefore essential to build trust through initial meetings and then move towards making a deal.

It is equally important to listen to the people involved to understand what they really want. This insight will enable you to create a win-win situation.

Approach Vacant Property Owners before others Do 

It is crucial to reach owners of vacant properties before they list their properties for sale or hire a real estate agent for the same. Again, gathering timely information is key to success here.

Look for properties that are unoccupied. The owner might be an individual who inherited the property but is not sure about the best way to handle it as he or she lives in another city or country. Such owners are more often willing to accept the first offer they receive simply because they want the property off their hands fast, gaining as much benefit as possible in the process.

There are also properties that are rented, but the owner is unhappy with the tenants. Such properties too are ripe deal-earning targets.

Patience, reason and perseverance are crucial to be a successful property investor

Why Coaching works

The term coaching and mentoring can sometimes confuse because some people are unsure what the difference is and are uncertain what the benefits might be of having the services of one.

Coach-Mentor-Ball-So let me explain what the key differences are and I will also highlight the benefits…
Coaching is much more impartial, structured with a specific task or goal to focus on within often specific timeframes
to operate within, which looks at the behaviours and skills of the individual in order to introduce change or rekindle or enhance such skills and behaviours and through this coaching improves and enables performance and growth,

Mentoring is much more of a relationship where there is mutual respect, and collaborative working where ideas, knowledge, information, insights and experiences are shared. The communication and interaction between the mentor and mentee builds, develops and flourishes almost in a natural bespoke, adaptive and flexible way. The focus is mainly on the individual needs of the mentee, assessing, reviewing, reflecting on the growth and development of the individual and providing a platform for the mentee to achieve their goals.

The benefits of having a coach and mentor can be second to none, it’s about defining your goals and targets, gaining clarity on what you want to achieve and why…your why is a really important element and it’s vital to your success that you really have clarity on your why. It’s about assessing which strategy is going to most meet your needs of achieving your goals and targets, and then really drilling down on the actions, timeframe, and accountability appropriate and necessary for you to create the opportunity to achieving success.

If done in a flexible but structure way, with accountability, yet motivational and supportive communication then an environment is generated where your ideas and creativity are free to flourish, meanwhile you are learning key pertinent things and gaining guidance and relevant insights which get you the results in a faster more comprehensive way because you are able to grow and develop whilst dealing with change and progress from both a performance and individual needs perspective.

Sourcing properties to FLIP

flip

If you are interested in finding properties at a good price, to renovate and add value resulting in selling  for a good price, the first step is to find a good property at a steal deal.

No wonder that one of the questions we often get asked is, “How do I find good properties to FLIP?”

Although there are many places to buy properties at a good price, here are 3 places to begin.

Go to an Auction

Property auctions are a great way to buy properties at a discount.  The secret to purchasing a great property at auction is understanding as much as you can about the process and researching everything you can.  Where possible, speak to the auctioneer about the property as they are always helpful.  Always view the property and take a builder with you to give a quote on the work that needs doing.  Also, have a solicitor review the legal pack and give you feedback before the auction.  Research the area and look at the value of renovated properties in the local area so that you can decide on your maximum bid before attending the auction.  Most importantly, stick to your maximum bid and don’t get auction fever.

Identify Empty Properties

Look out for empty properties. The best strategy for this is to target absentee owners, where they don’t live in the property themselves.  This could be either a landlord or someone who has inherited the property.

There are many different ways to find such properties.

Drive around the neighbourhood looking for houses that are empty then use online public records, such as land registry,  to discover the owner’s contact information.

Search online portals such as RightMove, home.co.uk, or OnTheMarket and browse through the listings. Look at the pictures carefully, identify the empty properties and get in touch with the agent or owner.

Contact Estate Agents

Get in touch with several local estate agents,  if you are looking for a property in Manchester, simply Google “estate agents Manchester”. Visit as many websites to find their email addresses and contact details or  alternatively, you could simply fill in their contact form.

In your email, tell them that you’re looking to buy the worst property they have. Tell them that you’re looking to readily buy any property that’s not in good shape/condition, and that you are willing to buy it and get it back in shape.

This will instantly get their attention.

And if they do have such a property, they’d be more than happy to get it off their books at the earliest opportunity.

Create a list of properties, research and view them, and discuss their prices and negotiate to seal the deal. You may end up with a property at a really good price. The next step is to renovate the property before putting it back on the market.

Here are 3 of the potential ways to find properties to flip at great prices. We hope these tips come in handy to you.

Lending to a Limited Company

According to the telegraph, lending to investors who have set themselves up as a limited company has shot up this year, in fact 100,000 mortgages were issued in the first nine months alone. As you know many investors are looking into setting themselves up in this way and a significant number have already done this in an attempt to get around some of the changes the government announced which will come into effect in April 2017.

Have you taken the plunge already, or are you considering setting up a limited company?

Why not share your experiences with us on our social media pages…

Telegraph Article

Why consider limited company buy to lets – Article

Engagement is the KEY

What a fantastic TPM Online Meeting we had on Wednesday evening (14/12/16), full of engagement both during the meeting with pertinent questions being asked by you guys, and answered by myself and Pamela O’Brien (Redbird Conveyancing), and also from the questions sent in prior to the online session.

The TPM Online Meeting and the other TPM Meetings we have are designed to help you move forward on your property investment journey, so in order for us to help you in a way that’s beneficial for you specifically then engagement is the key.

So register for these events in advance and send in your questions and we will do our upmost to answer them so that the time you dedicate to spending on the online meetings, or through our in person TPM Meetings (through the Q & A sessions and also the case study opportunities) are worth while and you get maximum learning, insights, knowledge and your questions, dilemmas and challenges answered.

Make the most out of the opportunities available to you, and you will move further forward on your journey and achieve your goals with clarity, motivation and momentum.

Thank you for taking part and engaging, and myself and the rest of the team look forward to working with you in 2017…

As Dale Winton says ‘You have to be IN IT to WIN IT’

Warm Wishes

Susan

The little things mean a lot

img_4067You may have heard the sweet rendition of ‘The Little Things Mean A Lot’ on a television advert recently, or you may have heard one of the many cover versions of the song which have been hits countless times over the years. The song itself was about all the little things that make the difference in life, and as I was putting one foot in front of me at 7am on my daily five mile morning walk the songs lyrics sprung to mind.

When it’s a glorious sunny day, you’re on holiday and walking along the beach with the white sand beneath your feet, with the crystal blue sea water glistening under the suns rays as it continues to rise; a morning walk doesn’t seem such a chore, and yet when it’s a cold autumn morning, when the showers are intermittent, but are the type that get you even colder and wet right through. The back roads are muddy from the tractors attending to their harvest, and when a random vehicle comes towards you, despite you moving out of the way, the spray off the road becomes a magnetic for your luminous outfit, and when one comes from behind, but because you’ve got your hood up to protect you from the rain and wind, you don’t hear it until the very last minute, you can take evasive action and jump onto the grass verge, but one foot gets the puddle and the other sinks into the boggy verge…there is the strong temptation to stop and say to yourself, ’seriously, why am I doing this?’ – and for most individuals in life at this point, they would be tempted to give up, pick something a little cushier to do, or have not even ventured outdoors in the first place…but for me; it’s the little things that make the most difference, and it’s the consistent little things, done over time; often the mundane, sometimes challenging, maybe not the most appealing things, that in the end help you to achieve your goals.

Yes there can be some quick wins, and yes there is potential to cheat perhaps, and find some easy fast way, but these things are generally short lived, not sustainable, and actually just aid to demotivation.

In order to keep going you have to be remain determined, motivated and in the right frame of mind to continue to put one foot in front of the other, to build up your stamina, to be in the best health to overcome any issues you encounter along that journey.

I see property investment in exactly the same light; for me the little things are the fundamental difference, consistently and routinely done, in order to continue to be successful.

Just like my health, with property investment, I’m in it for the long term, for me it’s a marathon not a sprint, and along the way I have set myself markers that I clearly view as significant achievements when I not only reach, but pass them.

What about you? What are the ‘little things that you do, that mean a lot’?, and where have you set your markers?

Let me know

Warm Wishes

Susan