In a recent video for my YouTube channel, I explained why now is a great time to get into property. The media may be telling you that now is a time to be scared and hide away, but the reality is that this is a time of opportunity.
In this article, I will summarise 10 reasons you should get into property right now.
1. People are scared
Warren Buffett says, “be fearful when others are greedy, and greedy when others are fearful.” In any market, the opportunities come when people don’t want to invest. Once everything is going well and people are happy to invest, many of the best deals are gone.
2. The cost of living crisis
Getting into property isn’t just buying property. It is deal packaging, rent to rent and other high cash-flowing businesses. It is essential that you start making more money, a lot more money, if you are going to survive and thrive in these economic times. Property businesses are a great way to do that.
3. Property is safe
If you look throughout history, property has always been a safe investment in the long term. People will always need a place to live and the population is growing. If you buy a business, it could crash and burn leaving you with nothing.
If you buy property, even if the house does burn, you will always have the land. There is a saying ‘don’t wait to buy land, buy land and wait’ because in the long run, it has historically gone up.
4. Permitted development rules
The government are making it easier to invest in property. Why? Because they, and the rich people they serve, invest in property!
Due to permitted development rights, there are many things you can now do to certain properties. These things include extending some properties and doing commercial to residential conversions.
5. The rich are
While the media is telling you to be scared, the rich are continuing to invest in property. Follow what the rich are doing, not what the powerful are telling the poor to do.
6. Property pays you 3 times
Property pays you 3 times! The first time is when you buy the house. Assuming you buy it below market value, you immediately make money in theoretical equity. Next, you get paid when you rent the property out. Finally, you get paid when the property goes up in value.
7. Passive income
The most passive of passive income, in my opinion, is property. This is especially true for commercial property. If you rent your properties to commercial tenants, it is completely passive. They will often take a 10-year lease, and you can just sit back and see the money come in.
8. Tax breaks
Property is a tax haven. I am not a tax advisor, so take what I am saying as a starting point for your own research. One way the rich pay less tax is they take money out of their businesses as debt rather than income. Property is very easy to borrow against, meaning you can grow your portfolio with borrowed money, tax-free.
9. Ways to diversify
There are so many ways to make money in property; deal sourcing, rent to rent, property development, etc. No matter where you are starting from, there is something for you in property. You can diversify your investments, all within a single industry.
10. Property community
The property community is amazing, supportive and friendly. You will find people that really want to see you do well. If you would like to start meeting people in the community, a great place to start is the Property Investors’ Crash Course. You can book a ticket here. They are only a pound!
