My mortgage broker made me RICH. It is true. She got me mortgages totalling £7.5m over a 10 year period on a property portfolio worth around £15m.
So when I was chasing up on a remortgage I was trying to get she mentioned a new entrant to the market. When she told me the brief details I have to admit I got a little bit too excited.
Here are the basics:
No minimum value
No 6 month rule
For those who don’t know those 2 bits of criteria mean you can get VERY rich. It means you can buy high yielding properties with no money.
But here is the bad bit:
The best rate they can offer you is 10.8% borrowing rate!
Now before you think “what a rip off, I’m not going for that” just take a moment. If you can find a property that rents out for £500 per month for £25,000 then BINGO! Your mortgage would be around £200 per month and your profit would be £300.
So can you get a property that will rent out for £500 for £25,000? Of course you can. These are the exact sort of properties I buy and you should buy. Yes they are UGLY, yes they are in BAD AREAS and yes the make you RICH.
Now if you are new to property investment I suggest you go for the properties that cost £50,000 and buy with a standard buy to let mortgage and borrow at around 4%. Once you’ve got some experience I reckon you should follow me and go to the dark side……