I want to myth bust. Mainly because I am appalled at what people are being told to get them into property investment. Let’s go through The TRUTH Around No Money Down…
“Light at the end of the tunnel”…Are these FREE seminars offering you things that don’t seem realistic AT ALL? Be aware…
So you’ve probably all seen it, the free seminars which you can attend based around how to get into property investment. To sell you onto the seminar you are promised that, no matter what you current financial circumstance, you can get into property investment… The day you attend the training, you are then sold stories on other people who had no money and now are experiencing financial freedom with only a few properties.
It’s sold that YOU CAN USE OTHER PEOPLE’S MONEY or NO MONEY DOWN. Once at these events you don’t get fed the facts you get put into a sales funnel where they sign you up for the next course or program or something else…
At that point the audience decides whether this is worth it, and if they are desperate to find a way to gain financial freedom then they will scrape together the funds to get into this program. Where, if they don’t do EXACTLY as the program leader says they won’t be able to succeed.
Can I let you into a secret? If you DO NOT have any prior experience of being a property investor then NO MONEY DOWN OR GETTING 100%
Do EXACTLY what you’re told to do… Can they really guarantee you success?
BORROWING VIA A BRIDGING LOAN IS GOING TO BE NEXT TO IMPOSSIBLE.
Why? Well, borrowing at any level is either based on your experience or your assets. The more you have of both of those commodities, the easier it gets to borrow. If you don’t have either, then your borrowing power is SIGNIFICANTLY reduced and in most cases at 0!
Here’s the other reality of buying property. To buy a property you also have to pay stamp duty, legal fees, mortgage application fees and surveyor fees for building surveys as a minimum and you will not get lending for this, so you have to have it in your pocket.
Yes, there are ‘gurus’ out there that tell you that you can pay for this on a credit card. I don’t know how this is possible, but also if you have credit cards at the time of getting lending then your lender is going to try and make you pay the credit card off before giving you a mortgage… then you are back to square one!
If you want to get into property investment, then you need to do it properly. NO MONEY DOWN SCHEMES SET YOU UP TO FAIL IF YOU DON’T HAVE ANY ASSETS OR OTHER PROPERTY.
Please don’t enter into these schemes.
If you need help, find a mentor with a credible background, who doesn’t charge you the same as a deposit on a property and who knows that there is more than one way of doing really well in property and can give you options.
What you need is someone to give you the options (not only one way of doing things) to see your money grow…
If you have started your property journey off in this sort of programs and you are now in a danger zone of trouble please get in contact with me Natasha@ncrealestate.co.uk, let’s turn this around.
You can build an awesome property portfolio sustainably; however, it does also have to start in a sustainable way. Rome wasn’t built in a day, but there sure as hell was a fail-safe plan to make it awesome and develop a City that can stand the test of time.
Please find a coach that really gets you and your circumstance for you. If it’s anything other than that, keep your £’s in your pocket.
Has anybody seen these type of schemes and experienced problems since starting in them? Let me know in the comments section below, I want you to have a successful property journey!
NC
