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In less than three weeks time we will be starting our 11th
Property Mastermind Programme, and to mark our 5th
Anniversary I am going to award a full Scholarship,
and you could be the lucky person to win it.

I am going to be holding a one off Webinar this FRIDAY
6th April at 11am in the morning. This is good Friday so
hopefully you won’t be at work and so able to listen in to
find out how the Property Mastermind Programme could
change you financial future forever!

We only open the doors to the Property Mastermind twice
a year, in April and October. On the April programme we
meet up once a month on a Friday and on the October
programme we meet up once a month on a Saturday. In
between these one day advanced workshops you get support
from our 24 hr forum and your own personal property coach!

If you would like to be considered for this full scholarship you
need to join me on this webinar this Friday at 11am.

To register to join me on this valuable webinar you
need to do is CLICK HERE NOW

I hope you will join me on Friday morning at 11am.

Kind regards,

Simon Zutshi
Founder, property investors network

PS This is open to everyone, but you have to be in it to win it.
Someone has to win this scholarship and it could be you. You
need to take action now if you want to be successful.

I spoke to a letting agent and was rather surprised to hear that they had completely the wrong understanding about Local Housing Authority (LHA) tenants and problems associated with renting to LHA tenants.

The letting agent said, in no uncertain terms that their landlords do not accept LHA tenants, and she unexplained the reasons why. The slight problem with this is that information she shared with me was actually incorrect.

There are some common myths regarding letting your property to LHA tenants. In this blog I would like to clarify the situation

The most common myth is that the rent is always paid direct to the tenant who then has to pass it on to the landlord and that rent can only go to the landlord once the tenant is 8 weeks in arrears.

Now let’s be honest, this would be a big disadvantage of renting to LHA tenants if it were true. But it isn’t. You can write to the local council and get them to make payments direct to you instead of to the tenant without having to wait 8 weeks.

The second myth is that if the tenant makes a fraudulent claim for benefits, which if the rent has been paid direct to the landlord, then the council can claw back the rent from the landlord. Again this is incorrect however councils will try to do this even though it is not legal.

When checking these myths out, I found that huge number of people believe these myths to be true including many from all people who work in the LHA departments of local councils.

This just goes to show that when you seek advice, you need to make sure that the people you ask really know what they’re talking about. Because investing in property is such a popular topic in the UK many people are all too happy to share their advice with you, which often is more of an opinion, with no actual experience to back it up.

I had meant to call about the property weeks ago but just have not had the chance, and so thought I would call there and then. As it was a Saturday, I suppose I should not have been surprised that the person I spoke to didn’t really know anything about the property. The lady who answered the phone very nice and polite but couldn’t actually offer any help at all. I suppose I should not really have been surprised by this, as I know that Saturday is not generally a good time to call, as the office is usually manned by part-time staff.

So this raises the question, of when is the best time to contact an estate agent or letting agent. This is a question that I am often asked and so I thought I would answer it for you here.

Monday is not a great day to contact agents, as very often they are busy following up from viewings at the weekend. Friday is also a bad day to call is usually they arranging lots of viewings for the weekend. Tuesday is a bit of a catch up day, which means the best days to speak to a letting or estate agent, when looking for deals, is probably Wednesday or Thursday. On these 2 days, agents will have more time to speak you.

Then there is an art to being taken seriously and not binned as a time waster as so many amateur investors are. You need to build rapport with the agent and get them to like and trust you in just the same way you would when dealing with a motivated seller.

Kind regards

Simon Zutshi
Founder, property investors networkA

According to recent figures released by the Council of Mortgage lenders, some 18,000 homes have been repossessed in the first half of 2011, with another 22,000 predicted for the second half of this year. It is estimated that a total of 45,000 homes may be repossessed in 2012.

My view on property investing is slightly different. Of course my aim is to increase my own personal wealth both in terms of immediate cash flow and long-term pension provision, however I believe that I can help other people along the way. In fact I believe by helping other people we will all become wealthier in many ways, not just financially.

Instead of looking to purchase cheap repossessed property below market value, I find people before they get repossessed, and see if we can save them from repossession by reaching an ethical win-win solution that works for all concerned.

Let me make it quite clear, I’m not a charity, and I am looking to make money from every deal I do, but that does not need to be at the expense of someone else. Far from it, in many cases we can reach an agreement whereby the seller can avoid repossession and so end up in a much better financial situation, then if they were repossessed.

This is the way I prefer to invest, and the way I have taught many thousands of people how to invest in property since 2003.

Generally, people who are about to get repossessed are quite motivated to find a solution to the problem. Unfortunately, we can’t help everyone, and some people bury their heads in the sand just hoping the problem will go away. The key to being a successful property investor is to know how to find motivated sellers, and understand their problem, and find an ethical win-win solution.

There are many different types of motivated seller. People who are about to get their home repossessed is just one type of motivated seller. The two most important things for motivated sellers are, speed and certainty of sale, which are actually more important than the amount of revenue generated from the sale.

If you would like to learn more about how to find motivated sellers, then you may like to read my book “Property Magic” which is available on Amazon.co.uk, or indeed come and spend a day with me on my property investing Quick start seminar on which I will teach you how to find motivated sellers.
Full details here: www.PropertyInvestingQuickStart.com

Kind regards,

Simon Zutshi
founder, property investors network

When looking to purchase an investment property the very best strategy is to find a motivated seller. One of the ways to find great property investments in your local area is to get out there on foot and get to know the area. This is such a simple strategy that many people overlook it, but it works. I promise you that you will notice things you won’t see if you drive around in your car. I want to share with you some tips on what to look out for so you can find some great property investments in your local area.

The first thing to look out for is of course properties for sale. Take some leaflets or letters with you, so that you can drop these through the letterbox at every house you see currently on the market. Make sure you also put a leaflet through doors of properties, which say they are sold as remember many sales fall through.

If you find a property with a couple of different for sale boards outside that is a good indicator that the owner may well be a motivated seller. Another good find, is a property with sale and select board outside this could be a potential purchase lease option.

The other thing you want to look for is derelict or abandoned houses. Note down the address and then you can go to the land Registry website to find out who is the owner and maybe contact them to see if they are interested in selling.

Regards

Simon Zutshi

Do you know your property conforms with requirements?

A Landlord has been fined more than £12,000 for renting out a house in a dangerous condition. The house was found to be poorly maintained and one tenant complained about the conditions.

Fire exits were cluttered, smoke alarms did not work, there was no record of a test of the electrical wiring, wash basins had become blocked and gas appliances were found to be defective.

The Landlord was convicted of: failing to licence the house properly; not displaying the manager’s details; failing to ensure fire exits were free from obstruction; failing to ensure common parts were well maintained and safe; failing to ensure the internal structure was kept in good repair; failing to produce electricity safety documents.

He was fined £1,750 for each of the six offences, ordered to pay costs of £2,191 and a victim surcharge of £15. He then had to pay to have all the faults remedied.
Tenants in the house may also be able to recover a proportion of the rent they paid.

MAKE SURE YOUR PROPERTIES ARE UP TO SCRATCH. They may have been in tip top condition in the past but they need to be checked.
Pininsurance can protect you against legal proceedings when you have done all you can to make sure your properties conform with legislation.

Ring Tom Steele on 08000 521742
Or visit www.pininsurance.co.uk

•    The new owner does not insure the premises or does not insure properly
________________________________

•    There is a major fire, flood or other catastrophe
________________________________

•    Who is liable to pay for the damage?

The answer is – YOU.

Yes, even if you no longer own the property, if you sold it with a sitting tenant, you are still liable for as long as the tenancy agreement has to run.

Not only would you be liable for repairs but you could also be liable for providing alternative accommodation for the tenant.

This is called Privity of Contract and is a real danger for property Investors.

Case Study

A Property Owner with long-term tenants sold the property to raise funds for future purchases. After 10 months, a fire destroyed the property. The new owner had not insured the property and the responsibility for rebuilding the property fell upon the original Property Owner who had sold the building. It was held that he had that responsibility until the end of the tenant’s original lease. His Property Owners Insurance policy would not pay out and he was forced to sell his other properties in order to meet the rebuilding costs and legal fees. Because the courts required that the payment should be made quickly, the sale of the other properties did not raise sufficient to meet the rebuilding costs plus legal fees and he was forced to extend the mortgage on his own home to the maximum.

The pininsurance Superior Cover Scheme gives this cover up to a maximum of £2 Million.
If the investor had insured with the pininsurance superior scheme he would have been protected and he would not have been forced in to serious financial difficulty.

BE AWARE – not all insurance companies give that cover. Can you afford not to have it?
Ring Tom Steele on 08000 521742
Or visit www.pininsurance.co.uk

Property networking events not only give you the opportunity to mix with like-minded successful property investors, but also you get the opportunity to learn from some of the most successful property investors in the UK. It’s always smarter to learn from other people’s mistakes, rather than making costly mistakes yourself.

For full details of all of our pin monthly network meetings visit: www.pinmeeting.co.uk.

Every few months we open up a few more meetings. keep an eye o the website for details of event coming up.

Kind regards,

Simon Zutshi
Founder, property investors network.

If you want the very best property deals you need to buy from motivated sellers., for whom the speed and certainty of the sale is more important than the amount of money they receive. This should not be taking advantage of them but rather finding an ethical solution to their problem that is a win win. This takes persistence.

When you first speak to a seller they may not be motivated enough, so you have to be patient and persistent and make sure you follow up. The challenge is that when most people get a NO, they give up. NO may not mean no never, it just means NO not now. In fact, of all the properties my students have purchased over the years about 50% of them were where the vendor said NO at first. Even if the vendor decides to sell to someone else you need to politely keep in touch as the sale often falls over and they may well sell to you after all. But you must be persistent.

Often motivated sellers are very hard to get hold of. This is because they have problems going on and so can be difficult to contact. This is where persistence pays off. The more they bury their head in the sand, the worse their problem becomes and the more motivated they may becomes for you to solve their problem, if only you can actually get hold of them. This is where many amateur investors give up far too quickly.

Property investing is quite straight forward. It is not easy, as easy suggest there is no work. There is definitely time and effort required but when you know what you are doing it is very simple. Whatever you do, don’t give up!

If you found this article useful why not have a look at my website full of valuable hints and tips to help you become a more successful investor. www.property-mastermind.com

Simon Zutshi
Property Investors Network