I’m back…did you miss me? Well, technically I have not been away as far as the podcast is concerned, as I pre-recorded a number of those holiday short episodes over the past few weeks. Did you enjoy those? If so, drop me a line to say so and I could perhaps consider doing that again another time for you, whilst I take a break.
Right, today I just wanted to share a small update on a project I was involved with whilst away, plus some important news on stamp duty that could change your views as a first-time investor and also announce The Property Voice Apprentice Programme too.
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Resources mentioned
Property Deal Tips & How to Reach me By Telephone
Book reference: Give and Take - Adam Grant
Link to the Podcast feedback survey
Today’s must do’s
Subscribe to and review the show in iTunes…and while you are at it please help us to spread the word by telling all your friends too!
Send in your property stories, questions or moans to podcast@thepropertyvoice.net and we will try and feature YOU on the show too!
Property Investor Toolkit – here is the book link on amazon.co.uk & amazon.com in case you would like to get yourself a copy to accompany this series
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Join in the discussion, either here in the comments section below, or by emailing us at podcast@thepropertyvoice.net
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Transcription of the show
Hello, and welcome to another episode of The Property Voice podcast. My name is Richard Brown and as always, it’s a pleasure to have you join me on the show again today.
I’m back…did you miss me? Well, technically I have not been away as far as the podcast is concerned, as I pre-recorded a number of those holiday short episodes over the past few weeks. Did you enjoy those? If so, drop me a line to say so and I could perhaps consider doing that again another time for you, whilst I take a break.
Right, today I just wanted to share a small update on a project I was involved with whilst away, plus some important news on stamp duty that could change your views as a first-time investor and also announce The Property Voice Apprentice Programme too.
So, let’s go!
Property Chatter
Jailbird Project
I just wanted to share with you a little about a project that I have literally just completed on. It’s one I found through my very own Property Deal Tips service at the start of the year.
- Offer accepted 23rd February, completed 5th October, some 7.5 months later!
- The owner was sent to prison shortly after the offer accepted
- Multiple charges on the property (at least 3)
- Court order to pay a fine, with a charge and restrictions on the title
- ‘Crime of deception’ meant we needed to take significant other checks, in particular checks around safeguarding against recourse under the ‘Proceeds of Crime Act’
- Not an ideal start, but great for my Earn & Learn shadow investors to learn from though!
Stamp Duty Update
You will probably be aware that there is now 3% Stamp Duty premium for property investors buy second and additional properties. The rules were quite complicated, although one thing that seems clear was that if you already own a property, then the premium would be applied to any subsequent purchases. Or that was the interpretation at least.
The general rule is that if you own your own home and then buy a new one, then the 3% SDLT premium does NOT apply to your new home, subject to certain conditions, regardless of how many investment properties you own. That’s good news.
However, there is an anomaly where you buy your first home and already own an investment property. Here, the advice was that the 3% SDLT premium would also apply to your home purchase, as the existing investment property/properties would mean ANY subsequent purchase, including your own home, would attract the 3% SDLT premium. That was the advice that I received for some time…until recently that is.
So, it seems that if you own your investment property/properties in a limited company and not in your sole name, then should you then look to buy your own home, the 3% SDLT premium would NOT then apply after all.
To clarify, it is ownership of the investment properties in a limited company that means you avoid the 3% SDLT premium on the purchase of your home in your own name.
So, small relief for those renters looking to buy their own home, who want to buy an investment property first, or already have one…as long as it is owned in a limited company and not your own name.
I know this won’t apply to everyone, but it might just help those looking at investing for the first time and don’t already own their own home. An example could include those living in high-cost locations, such as London and the south-east, but wish to invest in lower cost locations before owning their own home.
Every little helps!
TPV Apprenticeship Programme
I mentioned before I took my summer break that I was considering starting an apprenticeship. Well, today, I can share some details around what I have in mind, in case that’s something a small number of you would like to get involved with.
In property, we have three primary resources that we need to have at least one of time, money and know-how. In order to scale, we could add additional resources to that list, such as people and systems, but to get going it does rather boil down to time, money and know-how.
Not everyone has all 3 in abundance, of course, and even if we did, no doubt this would change over time as we use our resources to grow our property business. However, we do need at least one and ideally two out of the three of these primary resources to make an effective start in property. If you have none of them right now, there is still some hope, but it will be more challenging for sure.
So, assuming you have one or two out of these three primary resources, then perhaps a Property Voice Apprenticeship could help to kick-start your property journey?
With that in mind, I am inviting applications to fill just three openings to work with me in an Apprenticeship, on a 100-day fast start basis. So, that’s one person that has no or a little money, one with no or a little time and one with no or a little know-how. If you happen to have at least one out of the other two resources that’s the minimum criteria to get involved. Having two of them will make things easier also, but is not essential for the Apprenticeship to operate…save that you will need some time to work through it for a couple of months that is!
The aim is to get you from where you are now to a clear and deliverable outcome in 100 days. So, that’s either a property purchase or a property-related income stream started within 100 days, just to be clear.
For those just curious or just want to go it alone, here are some examples of the potential solutions you could adopt…
- No Time but have either money and/or know how
Aligned strategies:
Passive investing (REITs & funds, private lender, P2P, JV), ready-to-let BTLs, turnkey solutions (‘done for you’)
- No Money but have either time and/or know how
Aligned strategies:
Investor services (sourcing, PM, property/lettings management, etc.), Rent-to-Rent, Lease Options, assisted sale, JV (‘Do It Yourself’)
- No Know-How but have either time and/or money
Aligned strategies:
Passive investing (see above), ready-to-let BTLs, turnkey solutions, shadow mentoring (‘done with you’)
TPV Apprenticeship Programme Criteria
- Have at least one of the 3 core resources: time, money, know-how
- Have the right attitude and mindset - willing to listen & learn, willing to take action, givers/matchers only, no takers need apply, please 😉 Book reference: Give and Take - Adam Grant
- Complete application and screening process to be selected
Format
- 100-days to implement action plans
- Mix and match between 1-2-1 coaching & group calls
- Cost of the programme…a little of your most abundant resource: time, money or know-how! Or, a gain-share of the results. This will be discussed with the short-listed candidates to figure out a win-win arrangement. It will not be free, it does have a clear value…but it will be fair I assure you.
Next Steps
Drop me an email to register your interest, or call me on 0208 144 5895 weekday afternoons and we can start a conversation. Remember, I only want to work with a very small number of people that are committed to making a difference with their property investing journey over the next 100 days or so. Do you want a new beginning with some input and guidance from an experienced investor? Then, what are you waiting for?
OK, so that’s all I wanted to share with you this week. The show notes can be found over at www.thepropertyvoice.net. Or, if you want to talk about anything from today’s show, or just talk property investing more generally, email me at podcast@thepropertyvoice.net, I would be happy to hear from you!
Once again, all I want to say is thank you very much for listening once again this week and until next time on The Property Voice Podcast…it’s ciao-ciao.