As my 50^th birthday draws closer, I reflect back on the business decisions I have made and the mindset that I have adopted to get me where I am today. With a UK portfolio of 193 properties, which is worth in excess of £30 million, I have gone on to share my knowledge with UK investors up and down the country in their dream to become truly financially free; at least 26 of my students are now equity millionaires.

I am a firm believer that the UK property market is beginning to show green shoots and activity in the housing market has picked up over the last few months. In March 2009, it was clear that the bottom end of the property market reached rock bottom in my local area of Milton Keynes, Bedfordshire. The biggest problem estate agents are having at the moment is a lack of supply, everything they are getting at the right money is being sold very quickly. I recently looked at a local agent’s website and every single property that was priced at the right price has now been sold. The only properties that are not being sold are those that are unrealistically priced for the current market. All UK agents are struggling to get enough instructions and when they do get instructions they are selling them in literally a matter of days and in some cases I have heard that gazumping is back!

Before March 2009, a good below market value (BMV) deal in my area, would be buying a property worth £120k for a price of £75-80k. These deals are now few and far between and we’re currently now only buying 5 good deals a month rather than the 20 we were buying prior to April; we’re now paying an estimated £5k more for these properties than we were. The reason being that motivated sellers have now slowed down, interest rate cuts are now having an impact on the market and there are less repossessions as building societies/banks are being instructed to be more lenient.

As American Investor Warren Buffett said:

“Be fearful when others are greedy, and be greedy when others are fearful”

If you’re serious about building a property portfolio, here’s some simple advice. If you know the true market value of a property and are looking for a buy-to-let deal and buy it at 70% of that price, then you’ve built in your own safety net in case the market drops further. You need to be buying for cash flow purposes and you want to have at least a £6-£12k cash back when re-financing after refurbishment and at least £200 cash back positive every month.  This is a safe deal for any would-be investor. The art of property investing is to be able to find these kinds of deals. These guidelines should become your buying criteria and once you have this criteria, it eliminates any uncertainties you might have when making an offer to the agent. It is crucial to adopt this mindset when you’re looking to buy and build your portfolio.

Glenn’s Top Tips for Would-Be Property Investors who want to make the most of the current market:

1)      Choose the right area for you – a maximum of 1 hour from where you live and avoid the scatter gun approach (buying properties across the UK), as this could be a nightmare to manage.  And always research an area thoroughly before you buy.  You need to know your area and establish a good relationship with the local management agents – ARLA agents are more costly but in the long run this will prove more cost effective especially if you’re not UK based.

2)      Don’t get carried away on buy-to-let refurbishments, examine your target market and do the refurbishments in accordance with this market rather than your personal tastes so as to avoid any unnecessary expense. You need to look at the profit margins rather than the actual value of the house. Ask yourself a) Will it not let if I don’t make this part of the refurbishment? b) Or will it increase the rental income I receive? When recently showing one of my mentees a property they asked whether it needed to be refurbished but I assured them in this market and area, the property was fine as it was – this saved them the potential £8k in refurbishment costs they would have paid,

3)      Choose your buying criteria and stick to it, focus on your cash flow and not capital appreciation if you want to build a profitable portfolio!

So many of us are afraid about making investments but we believe it’s all about having the right mindset, but any fears can be set aside when you use the above buying criteria. I should know, I started investing in 2004 and look where I am today!

Glenn teaches would be investors the art of successful investing. To sign up for a free 5 part e-course on how to buy property without spending any of your own money please visit our website www.glennarmstrong.com.

With a portfolio of 193 buy-to-let properties, worth over £30 million, Glenn Armstrong is a highly experienced landlord who knows how to handle tenant evictions most effectively! He has the following tips for landlords on how to deal with every eventuality and how to ensure a smooth eviction process.

10 TOP TIPS WHEN EVICTING TENANTS

Always have sufficient reason to evict; it’s imperative to check your local laws before beginning eviction and make sure you have valid reasons for eviction.

1. Do your research. For advise and procedures go to www.hmcourts-service.gov.uk
2. While going through the possession process we suggest you apply for a Small Claims Judgment. I am always surprised at how often we then get paid. If they do not pay this will raise a CCJ against the particular tenant. It will also prevent them from renting out another property from anyone who references new tenants.  For more information go to www.moneyclaim.gov.uk
3. Know your eviction time lines and make sure the grace period is included in the rental agreement. Above all, ensure that you follow the proper proceedings.
4. Be prepared for court proceedings – have a copy of the tenancy agreement; a copy of the rent schedule and copies of letters and all action taken to date.
5. Always keep records of the tenant payments and use a suitable Property Management System.
6. Deliver any formal letters by recorded delivery or by hand with a witness and get the tenant to sign for them.
7. Make sure you have a valid section 21 signed when you ask the tenant to sign the tenancy agreement.
8. File for a section 8 Eviction Notice. You may enforce this once the tenant has gone 8 weeks in arrears.
9. If your tenant is a LHA tenant, once a tenant has gone 8 weeks in arrears, apply for the housing benefit payments to be redirected to you.

Above all, stay cool! At his company G & A Property, Glenn has gone on to share his knowledge with would-be investors and landlords up and down the country in their dream to become truly financially free; at least 24 of his students are now equity millionaires. For more information please visit www.glennarmstrong.com.

It is official, the market is back and it’s time to start talking to sales-hungry estate agents! Glenn Armstrong is a 49 year-old property millionaire whose portfolio of 193 properties is worth over £30 million. At his company, Glenn has gone on to share his knowledge with would-be investors up and down the country in their dream to become truly financially free; at least 24 of his students are now equity millionaires.

He has the following top tips on how best to deal with estate agents

• The only way to get the very best no brainer deals is to be the buyer/investor an estate agent rings first. So when someone comes into their office and wants to sell their property quickly, you are their first call. It is important that the person you are dealing with knows how to create a deal!
• The best days to call on an estate agent are Tuesday, Wednesday and Thursday’s. This is because any good agent will be booked for viewings on Saturdays, and Sundays (if open) and the only person in the office will be the weekend person and as you need to build up a relationship with the hottest agent in the office then weekends are out.
• When walking into an estate agents you need to speak to someone who understands your criteria, those at the back of the office are likely to be office managers and admin staff rather than a senior negotiator. Ask to speak to a senior negotiator who will take your search seriously and present your offer in the best possible light when it comes to making a bid.
• Establish your objective before entering the venue – it is not to walk up to them and say “ I am a cash buyer, I can buy quickly here is my card see you later”, it is to build a rapport with them, the old adage people buy from people is the same when it comes to selling. Chat to the agent for around 20 minutes mainly about the market in general but also about them.
• If you’re a home buyer serious about buying a property through a particular agent, make sure you speak to their mortgage consultant, as well as other advisors. If you’re an investor, spend some time with those who look after the letting side so you can be confident on the local market and the buy-to-let potential.

It’s a fact, most prospective homebuyers and property investors have no idea how to get the best from this lucrative pool of opportunity. With a team on hand with over 26 years of experience working as Estate Agents, G & A Property understand what makes Estate Agents tick. The team is headed up by Mark Penn, who has over 12 years experience in the industry himself. They offer “The Estate Agents day” which is run wherever you are and your property portfolio will be built and hands on help with getting the best deals from the best agents in your area It is essential for all wishing to coax solid below market value offers through their local agents which is invaluable for anyone who has ever visited an estate agent and got little or nothing from the experience.

For more information or to interview Glenn Armstrong about the Estate Agent Day please contact Natalie Whitlock at Full Portion Media on 0845 225 1500 or email natalie@fullportion.com. Visit www.glennarmstrong.com for more information.