Investing in Rental Property for a Beginner – The Facts!
Investing in rental property for a beginner has never been without complications.
Ever since Margaret Thatcher brought in the “Right to Buy” scheme in the 80’s, which gave council tenants the right to by their council property, buying your own house or flat has become a goal for many people.
Before the 80’s, owning your own property was only a dream for most individuals that were from a working class background.
However, investing in rental property for a beginner is still not straight forward. Anyone who is new to it has to negotiate the maze of contradictory information. Should they buy off plan properties, should they buy older properties, what about flats or should it be houses, or should they forget the UK market altogether because it is dead, and look at buying overseas property instead.
Too many people making money from property is seen as being the reserve of the elite. They believe you either need to be more intelligent or have a larger bank balance than the average person.
Yet, our appetite for property programmes is still insatiable. We love to see someone else risking it all to make their first profit as a property developer or investor and when they fail, we see it as confirmation that we are doing the right thing in staying in our day jobs and slaving away 9-5. If they succeed, we either say they were lucky or their circumstances are different to our own; there is no way we could have done it because of this, or because of that.
At times it can seem as though the world of property investing and developing is already over saturated.
This is one of many beliefs that contribute towards many still being to scared to dip their toes in the flowing river of profit. This is the same belief that leaves the money on the table for all those property professionals who just get stuck in and make it work.
There are very few people who wouldn’t love to give up working for their boss and the 9-5 and make money from property instead. However, only a very small percentage will do what it takes to achieve their own and their families financial freedom.
Why is it that investing in rental property for a beginner is destined to be successful for some and unsuccessful for others?
And how do you become one of the ones that succeed?
Well, one of the main reasons is their inner belief. This belief is partly fed by the media and what they see on TV on a regular basis.
When we see property experts in the movies or on our T.V.’s they tend to already be millionaires. The only other perspective we get is in watching shows like “Property Ladder.”
Unfortunately shows like this, many times, tend to be made up of people that don’t want to listen to the advice of the experts and they go head strong into their project thinking they know best. The end result being that they hardly make a profit or if they do it is only small. It is only occasionally that these people make more money from their 3-6 months hard work, than they would have done if they had stayed in their day job.
Typically what you will witness on these shows is a couple slogging their guts out day and night for six months on a project to only make a few thousand pounds in profit. Why then would the average person want to risk so much to get into property if they were going to have so much stress and sleepless nights and in the end make less money than if they stayed in their day job. It doesn’t make sense does it?
While some of these shows might have good intentions and want to inspire people to take the plunge into making money from property themselves, the facts are they rarely do.
Yet, many of those that go against the crowd and forge forward do in fact make a big success of things. For some this is done very quickly, for others it is done at a steadier pace over years, but progress is made nonetheless.
So apart from inner belief, drive and other inbuilt factors, what is the thing that makes the difference between success and failure in property?
After studying many different people and their results, including our own, our belief is that it comes down to one other thing? Education.
No, that doesn’t mean you have to spend thousands on some course or workshop that promises to teach you everything or let you in on some secret formula.
We are here to tell you there is no secret formula. Yes there are some effective techniques and ways to do things that will help if you know them, but as regards to a secret formula, there is none – just good old fashioned hard work and getting involved with the right people that can help to point you in the right direction. Then investing in rental property for a beginner needed be such a risk.
Of course, you can spend money on your property education and speed up your success. We review many of the property courses and seminars on this website and you can also waste a lot of money as well if you do not make educated decisions.
Don’t make the same mistake of many novice developers or investors and either don’t get an education at all or pay to much for one. If you make either of these mistakes the cost to you could be severe both financially and personally.**Nothing on this website should be confused with financial or legal advice. If you need this, or any other type of advice, please seek the help of a competent professional. In addition, because real estate laws change all the time and differ from state to state, and even city to city in the same state, everything in these pages should be considered general marketing advice and ideas. Please see link to full Disclaimer at the bottom of this page.