The Progressive Property Podcast 10 Reasons to Invest in Property RIGHT NOW!
Property is one of the safest and most lucrative investment opportunities. If you have been procrastinating buying your first property, or delaying starting your property business, Kevin has ten reasons why you should start investing in property today. Property is great to leverage, you’ll get instant equity, and it gives you a better return than any bank will these days. Listen to the ten reasons why you should be investing in property right now.
Key Takeaways
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Population Growth. The UK population has increased, a record, 8% in the last decade. This is getting bigger every day, and there is no more land so there is a housing shortage. We’re not building homes quick enough, which is pushing house prices up. There are 100s of thousands of empty properties that are ready to be brought back to the market.
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Generation Rent. We are right now living in generation rent because people can’t afford or don’t want to buy their own house. Throughout history, we have a much more own-house mentality in the UK compared with other Europen companies. The average age for a first-time buyer is mid-30’s. A quarter of the UK population will rent by 2021.
- Property allows you to leverage money more than any other investment class. The same £100,000 goes a lot further than investing in stocks and shares even if the property market goes up half of what stocks and shares do, you’ll still get good cash flow. You can leverage everything including estate agents, letting agents and solicitors to make sure your time is used most effectively.
- Instant Equity. You can make equity on the same day when you purchase property. You can think about the potential future value of a property where you turn a 3-bed house, to a multiple ownership house. You can add instant equity, over a matter of weeks.
- People always tell me they are always waiting for the right time to buy property after Brexit for example. You should always just buy now. It doesn’t matter about Brexit or a recession but it matters that you buy property now and make money now. Don’t try and guess whether the property will make you money in the future because that’s gambling.
- Section 24. This means that landlords, anyone who has more than one property, will no longer be able to claim their mortgage payments as a tax-deductible expense. A lot of landlords had been buying properties in their personal name so they have moved from profit to loss. To avoid this you have to buy properties as a limited company. This means that there are a lot of properties on the market from Landlords trying to sell their properties.
- Brexit is all over the news at the moment, and no one knows what is happening. They cause the newspapers to hype things up. One thing for sure is that people will need to live in houses. We need to be ready to make successful property purchases in this business.
- More and more people are waking up to the reality of their pensions not being worth as much as you had hoped. Most people do not have enough from their pension to live off when they retire. The retirement age is getting longer and longer, further and further away because of the pensions deficit. I use my pension through SASS and SIPP to purchase commercial, and residential property, which gives me a far greater pension than my previous job ever would.
- Property Investment is much better than leaving it in the bank. You will get a much healthier return even on a single let property compared with leaving your cash in a bank. Once you have more than £85,000 then your money is not protected if the bank went bust like Northern Rock. Putting your money in bricks and mortar protects it from inflation.
- Political and Economic Stability. We are living in one of the most politically, and economically stable countries in the world. It’s probably the safest property market in the world. Even with Brexit, we are living in one of the best countries in the world to invest in property. Sometimes we take that for granted.
Best Moments
‘Success leaves clues.’
‘Some of the most successful people have made their fortune from property.’
‘More people are looking to rent by the room, and smaller properties.’
‘The UK is more crowded than any other EU company.’
‘The UK will have double the density than Germany in the next ten years.’
‘We’re not building enough stock.’
‘The number of houses now is at its lowest since the 1920’s.’
‘It is not cheap to build houses.’
‘Rental maybe a good thing to move around but it's not a good thing to build wealth.’
‘You can outsource everything and retain most of the money.’
‘With property you can add instant equity.’
‘You have to buy for cashflow.’
‘People went bust in the recession because they didn’t buy property for cashflow.
‘You don’t wait to buy property, you buy property and wait.’
‘Now has always been the time to buy property.’
‘There is no such thing as jobs for life anymore.’
‘Always look for win, win opportunities.’
‘Be greedy when others are fearful, and fearful when others are greedy.’
‘Just one property will be a great addition to your pension.’
‘Use property to grow our pension.’
‘Your money is getting eaten away by inflation.’
‘Sometimes we forget just how lucky we are, and gives us the freedom to live our dreams.’
About Your Host
Kevin McDonnell is a Speaker, Author, Mentor & Professional Property Investor. He is an expert when it comes to creative property investment strategies. His book No Money Down: Property Invest talks about how to control and cash flow other people’s property to create financial freedom.
Contact Method
- Facebook: https://www.facebook.com/kevinMcDonnellProperty/
- Official Website: https://kevinmcdonnell.co.uk/
- No Money Down: Property Investing by Kevin McDonnell