No money but want to buy a property

bigfreddiel

sebastianj wrote: »

People do it all the time, how do I do it? Buy a property without any money, can pay mortgage though.



seb

Some examples of how many people buy with 100% loan would be interesting.

If you buy at a high ltv you will get a really extortionate interest rate, so your monthly payments may be unaffordable.

Cheers fj

eskbanker

sebastianj wrote: »

People do it all the time, how do I do it? Buy a property without any money

Probably best to stick to this....

bigadaj

This is the most bizarre non spammy thread I've seen in a while.

jimjames

Pincher wrote: »

I understand that there used to be lots of seminars, where you were taught to buy properties "with NO MONEY down".

Do you have to pay £1,000 course fee before they let you have the chapter on funding?

The ones I've heard of cost more than £1000. Some friends have fallen hook line and sinker for it. I repeatedly get emails offering advice on deals with no money down - generally seem to suggest finding someone who has money to back you. Quite why someone with sufficient money would be prepared to lend it to someone with no experience of property I'm not sure.

166million wrote: »

Buy to Let you have to have 40-60% deposit I think

Not sure where you've seen that. The minimum tends to be 20-25% deposit. Mine were just over 25% to get the best rates.

atush

You stop spending and start saving.

Gadfium

sebastianj wrote: »

colsten, Most of the Buy to let properties are not paid for, they keep adding properties to their Portfolio without money.

seb

Blimey. If you can work out how to do that, then we're all ears. There's a couple of Ferraris and a bunch of Bimotas that I want. Getting them for free would be just super....:whistle:

HappyMJ

When you hear about people buying a BTL property with no money they've remortgaged the house they live in to raise the deposit necessary to buy the investment property which is mortgaged as well. A mortgage broker can help you do this.

Their income from employment pays the mortgage of the house they live in and the rent pays the interest on the mortgage on the house the tenant lives in and just about covers ongoing maintenance costs.

It's quite risky. If you get a tenant that doesn't pay the rent on time then the mortgage will still need to be paid.

redmalc

well i read this thread with interest because i live in an area where there is a lot of development happening at the moment.
I was chatting with a colleague who came into a six figure inheritance some twelve months ago,he purchased four apartments with the minimum deposit on each and his business model is the rent pays the mortgage and leaves a bit of profit.
I have since heard the property tycoon has come falling to earth with a bang because two of the tenants did not pay for a number of months and he could not keep up the payments and the bank have taken all of his properties back.
Property Tycoon, sorry no idiot

edinburgher

Property Tycoon, sorry no idiot

Still, always nice to revel in the misfortune of others

redmalc

No not misfortune,Idiot