UK Landlord Forum / Life

Hi Folks

Has anybody read the property book '3+1 Plan" by Brett Alegre-Wood?, which is supposed to be a number 1 Amazon best seller?

In it he states the idea to buy a new build or an off plan property to let out to tenants.  He goes on to say the reason being the low amount of deposit required, the significant discount which builders sometimes offer in order to get some cash flow, and you won't be stuck in a property buy/sell chain.  However, as you know, new builds are usually over priced, which would of course eliminate any discount which the builders may offer.

So taking this into consideration, would you buy a new build or off plan property?

Thanks

hi geek84, would not try and buy some land and build a property..
its the time scale your looking at may be 12 months till you see
the returns,. you have then missed the 12 months rent . its  a lot of hassle
to get property built. .
off plan, this were property developer sells off plan to fund build.
again can also be time scale.can you be sure developer will complete or finish.
if you have the funds would advice by in a block of modern small development
block of flats,. say six to twelve in block. buy one in block if this works out, buy each in
turn as they come up for sale. 

Hey Geek84,

My answer to this is that it depends on the market you are in. Off Plan can be dangerous if you buy at the top of the market and prices drop between exchange and completion as you have to still pay the original contract price. You are actually exchange equitable title when you exchange contracts. So you own all increases and decreases.

Off Plan is fantastic when the market experiences growth as you are securing the price with a minimal deposit and therefore if it costs you £20K deposit to hold the property for 2 years and it increases by say £50,000 then you have technically made 250% return on your money during that period. This assuming you can complete or flip it (assign the contract on). However if you do not sell it then its still a paper profit.

I could go on for hours about both subjects but its probably best to grab a book I have written which my team can give you about this very subject called "Profiting from New Build" just ask the team to send you a copy.

Live with passion and fun,
Brett Alegre-Wood