How To Buy Your First Rental Property (Step by Step)

Episode 47,   Sep 03, 04:00 PM

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In this episode of The Property Investors Podcast, Russell Leeds and James Youel walk you through the step-by-step process of buying your first buy-to-let property. From getting financially prepared and choosing the right strategy to the often-overlooked step of securing insurance, they cover it all.

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The 9 steps to buying a buy-to-let property are:
  1. Get financially prepared: Determine your budget, explore financing options, and get a mortgage in principle.
  2. Pick a strategy: Choose a property investment strategy that aligns with your goals and the local market.
  3. Pick a location: Select a location that suits your strategy and investment criteria. Consider proximity, market trends, and potential rental demand.
  4. Book a big day of viewings: Dedicate a day to viewing multiple properties that fit your criteria.
  5. Make an offer: Base your offer on your property valuation and comparables, not just the asking price.
  6. Hire a solicitor: Find a reliable solicitor to handle the legal aspects of the purchase.
  7. Secure your insurance: Obtain the necessary insurance coverage, including buildings and landlord insurance.
  8. Complete the purchase: Work with your solicitor to finalise the transaction, including drawing down funds and signing contracts.
  9. Prepare it for renting: Make any necessary repairs, refurbishments, and safety checks before listing the property for rent.

Key Highlights:
  • Cash vs. Mortgage: Should you buy your first property with cash or a mortgage? Russell and James debate the pros and cons in today's market.
  • Location, Location, Location: Learn how to pick the perfect location for your buy-to-let investment, and why it's essential to consider your strategy.
  • The Big Day of Viewings: Why you should view as many properties as possible, and how to make offers that get accepted.
  • The Solicitor Secret: Discover why solicitors are a necessary evil and how to avoid common pitfalls when working with them.
  • The Estate Agent Bribe: James shares his controversial tactic for getting the best deal on a property, and why it might not be strictly legal.
Whether you're a seasoned investor or a first-time buyer, this episode is packed with valuable insights and actionable advice. Tune in now and start your property investment journey today!