I accidentally bought a property for £24,000!
Hi. I am Samuel Leeds, a property investor and a property guide. Today I will share the five habits that made me a millionaire. These habits will help you in your property business, and you can also become a multi-millionaire like me. So let’s begin.
Guest: I bought a property recently, which is a very funny story to tell.
Me: Go on, what happened!
Guest: I was watching auctions, and I thought I might learn about how auctions work. So I just clicked a button to set a very low bid, and I thought other people would outbid me. Soon after I clicked the button, I got a text message saying, “you won.”
Me: Wow! When did this happen?
Guest: It was around November 2020.
Me: So, only a few months ago. How much did you buy it for?
Financing for the house
Me: Where did you get the money from?
Guest: We did not have any money in the bank. It is such a funny story; I had to approach the bank for a loan because we could not afford the property. We had to remortgage the property that we live in. When I applied for the extra loan, they said we could only give you 6000 pounds, which would not only cover the deposit. So, I took a bridging loan on the property that we live in.
Me: So you took a 6000 loan for the deposit?
Guest: No, I did not take it.
Me: So the bridging loan, they gave you the full amount of money required?
Guest: Yes, they gave me the total amount of money.
Me: They obviously thought it was a good deal.
Guest: Yes, but they gave the loan on the property we live in. It is worth a lot more now, so they gave us a loan on it.
Renovating the house
Me: So you bought it for 24 grand. Have you started to renovate it?
Guest: We have already renovated the building.
Me: So you bought it for 24000 pounds and renovated it. How much can you sell it for now?
Guest: The current market value is 43000 pounds.
Me: What was the cost of renovations?
Guest: The total expense was around 2000 pounds.
Me: Only 2000, wow, hold on, where is this house?
Guest: It’s in Bishop Auckland.
Future plans for the house
Me: Oh, I am familiar with the area. It is a very cheap area. You bought it for 24; you spent 2000 on it. That is a total of 26000 pounds, and now its market value is 43000. So what do you plan to do?
Guest: The plan is to refinance it. Refinance it and get all the money out and a little bit extra and use it for another rent to rent when more profit comes up.
Me: Wow, so that’s a pull all your money out of the deal. Absolutely incredible, so you are looking at refinancing now?
Guest: Yeah, we are going to start refinancing.
Me: Describe the way it feels to buy a house like that? That seems crazy; you accidentally purchased a house.
Guest: It's called serendipity moment where you accidentally get something really good. I still can't believe it today. That is only possible because of the free knowledge from you.
Me: Oh wow, that’s great. And that’s the thing the crash course is free; there are no catches. Many people are very skeptical about rent to rent, buying cheap houses, about the free training. What would you like to say to people who cannot believe this? Some people will say that this is too good to be true. What would you like to say to convince these people that this is real?
Guest: I would say to them that I am in the property business now, and I never thought I would be doing a rent to rent. If you want to get into the property business, you should get in now. Time is ticking, and I will advise you to get knowledge, whether it's through training or reading a book. Get knowledge and take action.
Me: Massive. Wise words.
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