Property Sourcing Profits

In today’s episode, David discusses buying property, sourcing property, and property auctions. Wouldn’t it be great to know all the pitfalls and problems that come with buying property at auctions? Most people will commit the classic school-boy errors. But how do we avoid them? How do we keep our investment safe? You definitely have to factor in a lot of things. But no worries, David discusses them all in today’s episode of the Property Sourcing Profits Podcast. Stay tuned.

KEY TAKEAWAYS

Pre-auction. Go online and register 2 or 3 weeks before an auction. Big auction houses publish their catalogue online. Download it and browse throughout. You have to be available during viewing dates. It is possible that there will be a lot of viewers of the property. Do not be intimidated. Not everyone will go to the auction hall. There will be only a few people bidding; they are your real competition.

Download the legal pack in the auction pack. Take a look at the legal pack. It will contain everything that you need to know about the legality of the property, the risk, threats, problems, etc. You may not fully digest everything in the legal pack. You should show it to a solicitor to make sure that you do not waste money. Showing it to a solicitor is an investment.

Preparation for the Sale. Now, you got to look at the numbers. The numbers are different depending on geography. Your target is 20% net profit. So if the property is 100,000 pounds, then there should be a 20,000 pounds net profit. Over time when you are buying a property to flip, then your highest bid can be no more than 60 pence in the pound of the final refurbished value of the property. If you pay any more than this, then usually your margin will be on the threat and the project may not give you a decent profit. Twenty per cent return can be quite demanding wherever you are based in the UK. High-value property in the Southeast of England, then you might be tempted to move away from the 60% to pence pound rule… Be very realistic and be careful with figures. You have to have figures for 3 possible outcomes.

Selling Prices. You have to have 3 different prices.  Get on the day when you sell. It what dictates your profit. First outcome. If you buy at your figure, all the refurbishment runs the plan to the penny and then you sell at your projected selling price. That would be a perfect scenario. You would secure the maximum return on your project. This is the optimistic figures. On a different scenario, the second outcome, bad news, bad everything, rainy day, gloomy day, economic decline. This is the worst day. The third outcome, base your figures that are achievable, realistic and unsurprising.  Find a number in the middle that you believe will be achieved, and then have a look to see if you have got your 20% margin. This is really important. You will soon get an idea as to whether the project will work. You have to do all 3 calculations. Never take a shortcut because you got to make sure that you got an overview of the numbers. This will keep you safe. That is the main objective here. Once you get the numbers that you need, you can work out what you bid. You will have a maximum figure. Do not exceed it. Do not be tempted. Ever. It is a poor practice. You have to be firm and disciplined. Never be emotional. Do not get suckered in. There is always another bid.

You will be introduced to the professional teams that are brought in by the auctioneer to assist prospective purchases in the room. Speak to the firms who come along to support the auction, to support the people who want to make a sale. They assist those who are not prepared.  You are going to meet solicitors, local solicitors, mortgage brokers, property insurance specialist, local bridging companies (very active in auction purchases), and the local bridging firms (They have great experience. They know a lot of people. They know a lot of things. Many are family run operations. You should speak to them. Alliances can be formed.)

How do you bid? There is no right or wrong here. Sit at the back. Watch the beginning and then you will observe that the person or people bidding become thoughtful. That is the time to join in. Psychologically you are in the right place.

BEST MOMENTS

“When you attend an auction, never sit in the front row. Always, sit or stand at the back of the room.”

“Over time when you are buying a property to flip, then your highest bid can be no more than 60 pence in the pound of the final refurbished value of the property. If you pay any more than this, then usually your margin will be on the threat and the project may not give you a decent profit.”

“You have to be very careful and be realistic on the number of figures to make sure that the deal works. Do your calculation with respect to the figures with 3 possible outcomes with each scenario.”

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

 

In today’s episode, your host David Siegler interviews experienced property investor and business owner Fraser Macdonald. As a Deal Packager, Fraser has sourced and sold over 400 deals for investors with a combined value of over £28 million. Fraser shares his experiences from over 20 years of professional property investing and explains how his deals have gone from £32,000 to £180,000,000.

Discover the secrets to becoming a successful property sourcer and how you too, can surround yourself with the right people in order to align your vision and values and ensure your own, property sourcing success.

KEY TAKEAWAYS

David: Tell us a little bit about your business Property Fit?

Fraser: Property Fit was my sourcing company, I set that up in 2004 and we have sourced about 400 houses, worth about £28 million pounds. Property Fit specialises in sourcing high yield property for clients and manages all aspects of the process.

David: What sought of scale are the deals you're doing now?

Fraser: We’ve just got planning permission in Manchester next to Victoria station for a £180 million GDV scheme, that’s 556 apartments. Previously we have done a £21 million, 350-bed scheme in Derby and at that point, we didn’t know we would be getting into student accommodation.

David: Do you have criteria for investors?

Fraser: It’s not retail funding we are after, we only deal with professional investors with a minimum of £100,000, but we offer good rates, typically between 10%-20% based on the security of the deal. We look to make sure our investors believe in what we’re doing and that they trust in the deal.

BEST MOMENTS

“I bought my first house in 1997 and I put my deposit down using my credit card, I started building my portfolio the traditional way and had a surplus of cash each month”

“Property Fit is the UK’s longest running property sourcing company”

“We want to build things where the exit strategy is there”

“People invest in you because they believe in you”

“If you want to get rich quick, mix with the people that have been there and they’ve got what you’ve got”

VALUABLE RESOURCES

Progressive Property Facebook Community

Wealth Dynamics

Progressive Property Network

Property Investors Network

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

 

ABOUT THE GUEST

Fraser Macdonald is an experienced property investor and business owner. He has been investing in property since 1998. In addition to managing his own property portfolio Fraser also owns and runs three property investment businesses, Property Fit Ltd, Active Letting London Ltd and Active Letting Birmingham Ltd. Fraser also has extensive development experience in projects across the UK.

Coming to you live from the Book Writing Bootcamp in Mallorca, your host David Siegler interviews established speaker, trainer and mentor and Co-founder of Aspire Properties Dan Buchan. Dan and his business partner Jamie Yorke have packaged over 1000 deals and now also focus on, No Monday Down strategies with Progressive Property.

In today’s episode, David and Dan discuss how to attract the right investors, where to find them and why credibility is essential to seal the deal. Firstly, understand that you’re not dealing in property, you’re dealing in a vehicle to make people money and your credibility comes from serving them in the best way possible.

Finally, Dan explains why mindset is number one and that the ability to grow and the ability to raise finance lives on the boundary between challenge and support. Value yourself more and centralise yourself in one place, and let the investors come to you.

KEY TAKEAWAYS

• David: How do you decide what interest rate to pay your investors?
  Dan: The biggest mistake we made was overpaying and over offering in order to seal the investment. The issue we found is if you offer investors anything more than 10% it’s deemed to be very risky. We now prefer to offer interest-only investment as you can advertise it to the retailer and effectively pay less over time.
• David: What is your typical investor and where do you find it?
  Dan: Each investor or vendor we create an avatar for. They will have an income of over £200,000 per year and this will generally put them in the higher age bracket. The thing is the UK’s net wealth is £10.1 trillion and there are almost a million millionaires in the UK alone. That’s one in seventy people and you’re average Facebook user has 200 friends so when you look at the numbers there’s a huge amount of investors to attract. The key thing is putting yourself in front of those investors so put yourself in the place where your avatar will go. The most scalable model is connecting with people online and attending networking events.
  
  

David: Can you tell the listeners where to find investors and how to build credibility?
Dan: You have to market yourself, your product and how to can serve your investors. Marketing is essential a competition for people’s attention and you can market yourself to investors in three ways.

1. Online presence, build it up and reach people by constantly posting content.
2. Physical meetings, go to the places your investor (avatar) goes on a consistent basis to build relationships
3. Speak to everyone you know and create referrals. If you provide genuine value you should be telling everything you know and as a result, investors will come to you.

BEST MOMENTS

“There is a lot of money out there and property is a fantastic facilitator so be able to deliver value to people and serve your investors”

“You only need to attract two or three investors and then get referrals for life.”

“You’re much better off working with like-minded investors rather than banks, the interest rates might be higher but the hoops to jump through are much lower and easy to get through.”

“Your reason why is yours and yours only”

“Property is an asset class that increases in value in three separate ways; property Rent, capital growth and rent increases over time.”

“People will believe in you when you believe in yourself, know your numbers and know your product”

VALUABLE RESOURCES

Progressive Property Facebook Community

Rich Dad, Poor Dad

The C.R.E.S.T Model - Credibility, return, exit, security and trust.

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

 

ABOUT THE GUEST

Dan and Jamie are committed to their 70/20/10 strategy split which is split between 70% of their time on sourcing and selling BMV deals, 20% of their time on development deals, and finally 10% on simple flips.

Their ‘We Sell BMV’ brand is a market leader in the UK, sending out between 3 and 10 different deals every single week. As well as pure below market value deals, they’re branching out to offer properties suitable for a variety of different strategies, and Dan mentioned one particular deal in the interview which he’d sold the morning of the interview, which was a serviced accommodation deal making them £4,000.

On the development side of the business these are typically much larger deals where Dan and Jamie work with other investors/developers. They currently have one in Isleworth and another in Surrey, one of which is a development of new houses and the other is a commercial conversion.

Their final 10% spent doing flips is working with someone else who manages the work on deals that Dan & Jamie have sourced and funded. This is a relatively new strategy for them, but already they’re scaling it up and are confident of hitting their targets of completing one flip every month.

Welcome to another episode of the Property Sourcing Profits podcast. In today’s episode, David responds to popular demand and brings you the skills and knowledge you’ll need to know when costing up your refurbishment.

Hear the tips, tricks and vital information, you need in order to serve your investors better. Learn how to simply calculate costs, compartmentalise a property room by room and be prepared when it comes to sourcing deals.  If you are new to property sourcing and need to know how to work out the price of refurbishment costs, this episode is for you.

KEY TAKEAWAYS

• ‘Take a builder with you, get them to help cost up’ This is not a real-world solution as a deal packager you will be viewing 20-30 properties before securing a deal. You need to develop the skill in calculating the refurbishment costs for yourself and for your investor.
• The more houses you view, the more experienced you will become, the key to this is patience and practice
• Keep a viewing spreadsheet, this helps you to stay organised and understand what is required to bring the house up to a good, clean, safe and dry (lettable) standard.
• All of your refurbishment costs will affect what you offer on the property. Be sure not to rush this process, take your time and get the numbers right. Always add in a contingency sum, usually about 10%.

BEST MOMENTS

“You will never get anywhere if you are too hasty”

“The deal your packaging doesn't need to be completed to the standard of a Serviced Accommodation”

“Practice carrying out inspections on your friends and families houses, as a result, you will be so much better prepared when it comes to going out and sourcing deals.”

“Consider how much each job will cost and contact local tradesman to do the job, these will be cheaper than national firms”

VALUABLE RESOURCES

Progressive Property Facebook Community

Create a viewing spreadsheet

Snapinspect - Free 30 day trial

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

 

Welcome to another episode of the Property Sourcing Profits podcast. In today’s episode, David leverages a live stream to bring you some essential information on ‘Losing Control’  

Understand that as deal packagers we can be fragile when things break down when deals don’t materialise. You have to close your deals in advance and avoid them dropping out or falling through. Don’t get demoralised, you need to take control. Invest time with your investors and show them your commitment.

David urges you to serve your investors well, and give great value. You need to learn the investor's criteria, their commitment, what they’re looking for and what financial return they’re interested in. Only then can you properly get out there and start sourcing deals.

KEY TAKEAWAYS

• Consider taking a reservation fee and always make sure you’ve got proof of funds from your investor. If you’re working with estate agents this is vital.
• Make sure you have a backup buyer and always work with roughly 10 investors
• Investors are looking for a return on their money. Crunch down the numbers and find out what the net return on the capital employed will be, if it is around 12% you know you are competing with the high street banks.

BEST MOMENTS

“Invested the time in getting to know the investor”

“Inflation is eating away at your investor's money. You have the opportunity to help them to secure their money in a bricks and mortar purchase”

“You need to know the value in marketing, you have to be out there getting new investors and building relationships”

VALUABLE RESOURCES

Progressive Property Facebook Community

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

 

 

Welcome to another episode of the Property Sourcing Profits podcast. In today’s episode, your host David dives into the biggest mistakes new deal packagers make. Get inspired and listen to David's tips to success, learn how to become a professional property sourcer and discover the mistakes to avoid in order to start, grow and scale your property business.

David urges you not to give up and to keep on viewing properties to secure that deal that will get you started. As you gain experience and a knowledge of your goldmine area your conversions to securing deals will increase.

Finally, David explains the essential need for marketing in your sourcing business. Learn how to focus on what you can offer to increase investors wealth and how you too, can start to build your brand, spark engagement and attract JV partners by leveraging social media and building your credibility.

KEY TAKEAWAYS

1. People Give Up

• Don't give up too easily, persevere and increase your viewings to find the right deal.
• Normally you will secure a deal on average every 30 viewings, so get out there and see some houses. As you gain experience and a knowledge of your goldmine area your conversions to securing deals will increase.

1. Marketing

• Traditional marketing still works. Face to face marketing is essential. Live by the3-foott rule and tell anyone within 3ft of you what you do. Utalise this at property meetings and networking events to practice your elevator pitch and perfect your delivery.
• Create a business page and leverage social media with content marketing. Run Facebook ads and boost your posts to increase the reach of your message to those that are interested.
• Tell your story, tell people what you do. Your message becomes your brand and investors will want to work with you because of your vision and values
• Be consistent and post everyday, diarise your journey from day one. There’s nothing more compelling.

1. Over Complications

• Don’t over complicate things in your business, keep it simple and trust the process.
• Ensure you keep a routine and regulatory network with a simple and effective business card.
• Property sourcing is a regulated industry, but have no fear it’s easy to set up a business and even easier to run. You just have to get out there and do it.

BEST MOMENTS

“Your purpose is to increase the wealth of your investors”

“Property network meetings is where I found my business”

“Video is the number one way people will engage with you”

“Networking IS Marketing”

VALUABLE RESOURCES

Progressive Property Facebook Community

68100 - Buying, holding and trading property SIC code

68310 - Estate agent SIC code

 

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

 

If I see something in an estate agency and I think it’s gonna enhance my investor’s life, how do I secure it? How do I get it off the market? How do I make it work?

Estate agents are a big piece in the industry. So, today, David will share with you how he does it. He touches on topics like finding the money first, securing an investors list, why having a coffee with your prospects is better than scouting online, and many more!

Be sure to tune in to be more confident when you're facing your investors and estate agents!

KEY TAKEAWAYS

You have to have your exit in place before you go into the estate agent’s office. You have to know what you’re looking for. You have to have an investor in place before you go shopping. You don’t wanna be viewed as a time-waster.

Tell the estate agents who you are and who you work for. This is to situate where everyone stands. The estate agent will immediately know that you’re professional and I can forward anytime. I can easily put an offer down if I already 6-10 cash-rich investors.

Find your investors first. You need deals and you need people to buy your deal. Have 1 or two investors behind you so you can talk to your estate agent confidently.

How do you know what you’re looking for? During your conversation with your investor, you’ll know what they want, their finance, their strategy, etc. Have a detailed conversation with the investor so when you go to your agent, you know what property you’ll be looking for.

Get the vendor’s solicitor to send an email my vendor’s solicitor to confirm they’ve been given instructions. This is as far as you gonna get in four days and at least you know the process is now ongoing. This is really important.

“If feeling brave, instead of sending the contract in my name to my solicitor, send it to my friend’s name to their solicitor.” In order to do that, obviously, proof of funds for the investor should be provided.

The most important thing is to find the money or the investor before going shopping for the property. That makes life so much easier than doing it the other way around.

How do you build your investor list?

What do you mean by properly qualified? You have the expressed permission to contact them and have a chat with them.

Don’t spend 100 hours online looking for deals, go have 100 cups of coffee with your future investors. This will pay you back more. Go out there and find your investor.

BEST MOMENTS

• “Estate agents are a massive piece in the industry and we have to deal with them.”
• “If the deal is good enough, the money will follow.”
• “Confidence is important. Get rid of the fear. Move forward with confidence.”

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

Finding your investor is quite critical. Investors showing interest is just the tip of it. There are things you have to assure in order for you to make money and not waste time when dealing with investors.

On today’s episode, David shares with us an experience of one of his friends, Karen, on how she found investors and built their relationships with them. You’ll also learn how to value yourself and your business, and how to be reasonable in pricing. There are a lot of stuff you’ll learn from her experience and David’s tips so time to tune in to this episode!

KEY TAKEAWAYS

Meet your investor face-to-face. If you have investors who’s seen you as a competent, intelligent, and committed person, they will come to you. They want to see how to run your business.

No one is going to engage into your services unless you build a personal rapport. That is meeting them face to face. If you have travel around the world, do it.

We have to explain to the investor that this is our business, this is our livelihood, this is where we earn income and this is serious. If they wanna go to the next step, you have to acknowledge that you’re the go-to guy. There should be trust in your working relationship.

Potential investors are sometimes wasting your time. Don’t send a specific postcode to an investor unless you’re formally engaging. It doesn’t have to be on paper. It could be done through handshakes.

Talk about fees. If it’s a real investor serious about working with you, they are not gonna have an issue with you raising your fees. They should understand the time commitment and the relationships you build.

Can you provide a hands-free service? You’re gonna need contractors. You’re gonna need everything you to run a property portfolio remotely. 

You need a commitment fee. Don’t send a postcode unless they paid a commitment fee.

Discuss the criteria – financial criteria, goals, exit game, etc. Know what they need from you. Are they aiming to get higher returns that you could get?

Every investment has cash flow. The average deal fee for 2018 is around £5000. You could get £1500 commitment and get the balance during the conclusion legal.

Ask them what you need in order to provide your professional service. Necessities like ID, proof address, proof of funds should be asked.

Never charge less than £3000 for any deal anywhere in the UK. If you think £3000 is too little for you, then go for what you think is reasonable.

70% of investors buy properties with a mortgage. There’s nothing wrong with that. Ask your investor if he’s interested in that.

BEST MOMENTS

• “She values herself higher than the figures we’ve been talking about.”
• “This stuff works. You just got to be brave enough… maybe we don’t ask difficult questions enough in life. In deal packaging, when you’re just starting out, you haven’t got self-belief and confidence, you’re feeling a bit fear, nervousness, you tend to undervalue what you bring to the table, what you really really need to do is value yourself.”
• “Investors are different; people are different. We respond differently in different situations.”

VALUABLE RESOURCES

• Progressive Property

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

Why don’t you start now? You’ve invested time and effort in training and building your knowledge but haven’t moved the littlest to start your journey.

On today’s episode, David shares with us why people are still procrastinating, what’s stopping them, and why are they still not doing the first step. There are three things to work on to help you get on your feet: having clarity & commitment and dealing with fear. Just by observing the people around him, David quickly deciphered what separates the people that do and the people that don’t which he’ll share on this episode. He also shares stories of people who decided to just get started and are now successful in their journey.

KEY TAKEAWAYS

There are people that don’t do and there are people that do. What’s the common denominator? There are three things that make the difference:

1. If you’re gonna be successful at deal packaging or any other property strategy, clarity is the absolute key. Focus on clarity from Day 1. People that embrace it, roll with and are totally committed to deal packaging are the ones that succeed. Build your knowledge. Know what the strategies are and how they work.

Generating cash flow. Deal packaging is the fastest way to do that. People just need to follow what they listen to on the training they attend to

Deal packaging is not hard. The decision to stick to your strategy and you do everything to go over the line.

1. Dive into it. Time is limited so learn to manage it. They will get deals and do deals over the line.

Deal with the Fear. The fear of crossing the threshold – talking to an estate agent. We see them as the ultimate scary property professionals and are far more experienced but just think that they are people just like you and me. Don’t be intimidated.

Here are some insightful examples:

Alex and Nathan from London trained under Progressive did exactly what they were told, and have lived it now. They talked to estate agents and found deals that stack. I know that they will sell because the deal is stack in a sense that they will increase the wealth of the investors. Alex and Nathan are just three weeks in their deal packaging career and got deals that will generate them £25,000. The thing is they don’t have fear.

In the South Coast of Wales, Sean is doing his seven-week journey in deal packaging. Increasing investor’s wealth is what he’s doing. He has now got three deals coming through and now all subject to legal. His got investors coming to him on his own.

Karen from Sheffield found her own investors. She has great relationships with local estate agents. All of the deals come from estate agents. She’s got three deals going through right now.

You can’t tell me training don’t work. What’s common for all of them is they’ve thrown themselves into this. They’ve got clarity of purpose. They know exactly what they’re trying to do. They’re not running around with two or three shiny penny strategies in their head. They are all into this because they’re committed to earning money.

If you’re starting out from scratch, you probably gonna do 30 viewings per deal. You’ll never be sure if a deal is gonna come. You might reach 58 viewing and still not get it but will be able to get a success on your next two deals if you continue.

Spend time referencing where you gonna do viewings online before you do it. This is to screen stuff out that will not work.

BEST MOMENTS

• “Why don’t you just go out there and start doing it?”
• “Just going in and doing what we’re supposed to do, what we’ve been taught to and what we’ve learned, that’s key to your success.”
• “The key principle that runs through everything is we are increasing investor’s wealth.”

VALUABLE RESOURCES

• Progressive Property

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

 

David Siegler explains what just what exactly Deal Packaging is and how it can generate cashflow, build your property portfolio and create your legacy! He gives an impression of the power of this property strategy, how it overarches every other strategy and how you can find your own niche.

Having packaged more than 250 deals himself, he's is hoping to impart some of that knowledge and advice to help you with you advance your careers and enterprises.

KEY TAKEAWAYS

I source deals and sell them to investors. I started my activity by accident in 2004. I didn’t even know what a deal packager was or did!

My business concentrates mainly around Manchester, even if at first I was quite reluctant because it was North and I am not from around there... My business partner convinced me, showing me all the deals available on the market and told me he bought a series of houses for around £35,000 and there were lots more to see. That’s how we started buying lots of houses in Manchester, the finance was very easy those days, you could arrange it on the phone! The mortgages requested a low deposit too.

If you are an investor, you are well aware that after investing continuously, eventually, you run out of money. You try and recycle but you also have to leave a little bit in and eventually all those little bits suck up all of your capital.

The real trouble is, in this industry, you can’t take a break. You can’t tell your deals to wait because you'll slip from the first on the telephone list to the last.

That’s when we started selling our properties in very good deals! We didn’t know we were doing Deal Packaging at first. We created a very good network, we started from our friends, my dentist and everyone we could meet. We went to a lot of Property Network meetings.

If you're selling in the North of England, then you'll need to focus on cashflow. Capital growth isn't promised in the North of England. Equally in the south of England there's ample opportunity to make your investors and clients really wealthy. Over time, capital values increase.

My Deal Packaging business became the cashflow that supported my life. It was fast and free and I can show you how to do it.

To be a deal packager there are 3 vital ingredients you need to make your business work.

You need a deal. What is a deal? How do you quantify one? A house with no potential is just a house on sale. It has to somehow increase the wealth of the person buying the house. To find out how the house will make the investor wealthy is to find out what they need, what they are looking for and what they are trying to achieve. I go out and try to fulfil their request.

You need an investor. The person that buys the house will be your investor. There are so many types of them, so I will show you how to identify them. Every investor needs cashflow, high yielding investments, maybe they've got a chunk of money on the high street and they're getting a small return on investment, perhaps they're concerned about inflation.

Make sure you will get paid. A deal packager needs to have an expanded knowledge of the strategies, areas, the best class to have as tenants, security fire procedures, the legal room measurements, insurances and so on, to be able to satisfy his client.

A deal packager needs to know just enough about every other strategy to make it work for his client. Every other property strategy is related to deal packaging. For a low return you could try single lets, for a higher return you could consider multi-lets (HMOs) or earn multi-let returns through Serviced Accommodation in single lets, avoiding bashing down walls or without significant structure changes.

With Serviced Accommodation, will the property work where it's situated? What are the planning issues, lending criteria, insurance issues, how are you going to service it?

BEST MOMENTS

There is a strategy to use, everywhere you are. Doesn’t matter, North or South. You just need to be a connoisseur!

In the early days in Manchester, we liaised mainly with estate agents, who still have 90% of the property market according to Rightmove. Build your relationship with the estate agents. Learn to spot the key players within the estate agents' offices. It's absolutely free!

Deal Packaging is just arithmetic. that's all it is!

Match the figures requested by your investor!

If you are a deal packager, you have to know all the top line rules and regulations to make the best use of the investor’s money taking in consideration the income they are looking for.

Another fantastic strategy is the commercial conversion. Commercial deals you convert into fantastic residential buildings to make big profits.

VALUABLE RESOURCES

Progressive Property

Deal Packaging Course

Commercial Conversion Course

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.

CONTACTS

David’s LinkedIn

David’s Facebook