WHAT DEAL WORKS BEST FOR YOU IS ALWAYS AN INDIVIDUAL DECISION BESPOKE TO YOUR SPECIFIC NEEDS
CASHFLOW OR RETURN ON INVESTMENT?
WHAT IF YOU COULD HAVE BOTH? EITHER IN ONE DEAL OR THROUGH A DIVERSIFIED PORTFOLIO THE OPTIONS WHEN INVESTING IN PROPERTY ARE VAST
THE DEALS AT ACQUÉRIR
BTL – Buy to Let. This is the simplest, lowest risk and easiest strategy to invest in property. Buy a house and rent it out. It may be simple, it may be easy, but you can still earn returns in excess of 20%, blowing most investment products out of the water. On top of that, the nature of property means you get paid again in capital appreciation.
HMO – House of Multiple Occupation. A favourite strategy for its cashflow. Instead of renting the property out to one person, it is rented out to 4, 5, 6 or more people on a room by room basis. All bills are included for the tenant and as such the property will rent out for a far higher amount than on a single let basis. Here you need to find more tenants so there is more risk, but it’s just as easy to passify and the reward is higher. 20%+ ROI, £500+ per month
BRR – Buy, Refurbish Refinance. A creative strategy allowing you to pull all or most of your initial cash back out so you can invest again. Buy a property for Below Market Value (BMV), add value to it by refurbing the property, then take lending out (Mortgage) at a higher value paying you back for your purchase, legal fees and refurb costs. You then rent the property out and get some small cash flow but massive ROI. Getting the refurb completed and the end value right is key here. 50%+ ROI, £150+ per month
DEVELOPMENTS AND CONVERSIONS – A mix between BRR/HMOs/BTLs. What if you could have massive ROI and massive cashflow? When you scale up BRR you end up converting old buildings to flats or other accommodation or building houses from the ground up. You can either sell and make 10s or 100s of thousands in one deal or refinance and pull all, or even more, of your money back out. Then, because you have multiple units, there is more cashflow. These deals vary a lot but there should never be any money left in (infinite ROI) and cashflow can be from £500, to £50k per month.