The property market has gone through drastic changes since God knows when—from several recessions to market crashes to political changes and a lot more. 

It’s not as easy as you think, but when being cautious, you can emerge as a property winner, just like our guest in this episode of the Property Sourcing Profits, Sheryl Siegler. David, your host, and Sheryl has been enjoying the benefits—the freedom, the wealth, the comfort, etc.—of property investing since the 90s. Today, they share the hits and misses they’ve experienced throughout the years, how they have dealt with the ever-changing property market, what are the current challenges in property in 2019, what’s it about Section 24 and how they stood their ground despite the trends.  

Start tuning in to know more about their journey from property beginner to property winner. 

KEY TAKEAWAYS 

• When David and Sheryl planned to buy properties, there were a lot of worries and doubts, especially Sheryl. Sheryl has a stable job that time, so risking on property investment during recession wasn’t ideal for her. She thought it’d be very difficult to pay the mortgage. But, unfortunately, her decision to not push through was a mistake. Everything could’ve gone well. It doesn’t matter if the market is down, as long as you’re ready. 
• When they have already established their credibility, it was the lending institutions who are now knocking on their doors to offer their money. But even with this huge advantage, every decision to invest on any property is still thought thoroughly and carefully planned. 
• They are in a good position right now—they didn’t have to sell their properties when the crash occurred and the value got up higher.  One reason is they monitor the property prices. 
• The value of flats dropped during the recession and haven’t recovered yet. 

• If you’re sourcing apartments for investors, make sure that at least 50% of them are occupied by the owners. 
• Section 24 – If you book property in your own name, you can no longer subtract your mortgage interest at the end of the year from your tax built. 

• Landlords are losing money and are carrying a lot of debt. David and Sheryl suggest you increase the rent to a reasonable price and look at the excess. 

BEST MOMENTS 

“As long as you got the arithmetic correct, you just got to be brave with your stuff.” 

“The more you did, the more some people lend you so you could do more.” 

“The good position that we took was we didn’t know how to stretch ourselves so we weren’t under pressure to sell.” 

ABOUT THE HOST 

David is a property expert with over 25 years’ experience and his own portfolio of 26 units. His current rent roll is in excess of £10k per month. He is also a partner in a Deal Sourcing and Packaging business in the North West of England and has sourced over 250 properties for investors since 2004. 

In recent years he has, by necessity, had to develop an expertise in LHA strategies. This area is increasingly becoming a niche for him, and he enjoys empowering other landlords by sharing the knowledge he has gained. 

The ultimate purpose when sourcing properties in this sector for investors is to minimise risk while maximising profit. He has had to find answers to the challenges of Tenant Find, Management, ensuring rents are paid and the transition to Universal Credit. These are strategies he uses in his own business and also on behalf of investors. His investor clients regularly achieve annual gross yields of over 20% with high occupancy rates and voids resolved, sometimes within hours. 

CONTACT METHOD 

David’s LinkedIn 

David’s Facebook