Property Magic Podcast

Should You Buy with Cash or Mortgages?


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Simon discusses the advantages of buying properties with mortgages compared to buying for cash. He provides numerical examples to illustrate how leveraging mortgages can lead to higher returns and increased cash flow over time. Simon also emphasises the power of using other people's money to invest in property and highlights various creative funding strategies for those with limited capital. 

KEY TAKEAWAYS

  • Using mortgages allows for more properties to be purchased, increasing overall cash flow and potential profits.
  • Property values tend to increase over time, especially due to the shortage of accommodation and increasing population.
  • Various methods, such as rent-to-rent, lease options, vendor finance, joint ventures, or loans, can be utilised when running out of personal funds.
  • By leveraging mortgages and multiple properties, the potential return on investment can be significantly higher compared to buying properties outright with cash.

BEST MOMENTS

"But what you need to remember is that when you get a mortgage or using someone else's money to buy a property, it means your deposits can go further and your tenants who rent the property from you, they are going to be more than covering the cost of the mortgage."

"The reality is we live on an island in the UK. There is not enough accommodation. We have the increasing population. So over time, both the rents and property values go up."

"If you have money, whether it's savings, inheritance, money in your business. It's not doing you any favours sitting in the bank. By putting it into property, not only can you get a much better cash flow, you also benefit from that long-term capital growth."

VALUABLE RESOURCES

To attend your first pin meeting as Simon's guest visit http://www.pinmeeting.co.uk/, find your local meeting, and at the bottom of the page where you normally pay £20, click on where is says "pay with a voucher code" and use this code: PODCAST. This will by pass the payment page and you can attend your first pin meeting for free.

To find your local pin meeting visit: www.PinMeeting.co.uk and use voucher code PODCAST to attend you first meeting as Simon's guest (instead of paying the normal £20).

Register at Mindset For Property at - www.mindsetforproperty.co.uk 

Contact and follow Simon here:

Facebook: http://www.facebook.com/OfficialSimonZutshi 

LinkedIn: https://www.linkedin.com/in/simonzutshi/

YouTube: https://www.youtube.com/SimonZutshiOfficial

Twitter: https://twitter.com/simonzutshi

Instagram: https://www.instagram.com/simonzutshi/

Simon Zutshi, experienced investor, successful entrepreneur and best-selling author, is widely recognised as one of the top wealth creation strategists in the UK. Having started to invest in property in 1995 and went on to become financially independent by the age of 32.

Passionate about sharing his experience, Simon founded the property investor’s network (pin) in 2003 www.pinmeeting.co.uk.    pin has since grown to become the largest property networking organisation in the UK, with monthly meetings in 50 cities, designed specifically to provide a supportive, educational and inspirational environment for people like you to network with and learn from other successful investors.

Since 2003, Simon has taught thousands of entrepreneurs and business owners how to successfully invest in a tax-efficient way.  How to create additional streams of income, give them more time to do the things they want to do and build their long-term wealth.

Simon’s book “Property Magic” which is now in its sixth edition, became an instant hit when first released in 2008 and remains an Amazon No 1 best-selling property book.

Simon launched his latest business, www.CrowdProperty.com, in 2014, which is an FCA Regulated peer to peer lending platform to facilitate loans between private individuals and property professionals.

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Property Magic PodcastBy Simon Zutshi

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