In my latest short video on YouTube, I spoke to Tom, an 18-year-old lad who is now financially free via property. Tom has a lease option; a rent-to-rent; he packages and sells deals; and now he is looking into development. In the video, Tom gives his advice to other people wanting to get into the property game. He says the best advice is to get trained and take action.
If you are young, it can seem like property isn’t the best place to start making money. Many people wrongly think you need a lot of capital to get into property, and often younger people haven’t yet made a lot of money. However, the reality is property is a great business to get into as a young person. I bought my first house at the age of 17! In this article, I will take a look at 3 top tips for young adults wanting to get into property.
1. Low or No Money Down Options
If you are starting out without much money, that isn’t a problem. There are a number of low or no money down methods for getting into property. Some great low money down options include rent to rent deals and lease options. In both cases, you can control property without having to own it. In the case of lease options however, you have the opportunity to buy the property at a later stage for a fixed price. The terms of any such deals are negotiated with the owner, and the amount you will need will depend on many factors including how good you are at making deals. That said however, you should need much less than if you were to put down a deposit to buy a property.
If you want to do a no money down deal, maybe doing a joint venture might be the best way to go. In a joint venture, your partner can put down the money while you do the work. You can then receive a split of the profits. To do this however, you will need to have something to bring to the table. You will need a reason that someone with capital would want to team up with you. Which brings me to my next 2 tips…
2. Get Experience
As someone that is totally new to property, it is worth getting some experience. Experience will set you apart from other young people looking for people to work with. You can get experience by offering to help others for free. For example, when I was new to the property sector I offered to be a letting agent for landlords. In those days, you could charge a fee to the landlord and the tenant as a letting agent. I charged nothing on the landlord side to get my foot in the door.
Build up contacts, attend networking meetings and help as many people as you can. Provide real value before asking for anything. Get testimonials from the people you help and build from there.
3. Get Trained
If you want to be able to help people effectively and show your skills, you need to be trained. If you are trained, you will know exactly how things are done. If you are not trained, you will just annoy the people you are trying to help and get a bad reputation. A great place to start getting trained is the Property Investors Crash Course. Tickets are free and you can book one here.