No Money Down Property Deals: Dream On…

20 Mar

I know this post will be popularly unpopular.

BUT

Contrary to what many self-proclaimed “property gurus”, property network meets and exorbitantly priced “teach-me-how-to-buy-property-for-nothing” courses say: property investment requires money.

It doesn’t have to be mega-bucks, but property investment does require SOME money.

The fact is, no matter what anyone says – whether it’s a claimed Lease Option Deal, a No Money Down Deal, or a Below Market Value Deal – to buy any sort of property deal you NEED money.

Money is the lifeblood of ALL property deals.

And I know that’s unpopular: because there is a whole industry built on trying to convince people you don’t need money to invest in property – it’s the “No Money Property Investment World”.

And the fact is, it’s hugely aspirational.  And it’s hugely in demand.

Of course anybody in their right mind would want to own something for nothing which they could make money from.  I mean, how ideal is that – I get to own something for nothing and then make money from that something? Where do I sign?

But the fact is, property cannot be owned for nothing.  Property always costs something – how much of a “something” all depends on your investment criteria and where you want to buy.

But let me ask you a question: if you have no money and are trying to buy property – why are you trying to buy property?

If you don’t have any money to buy property in the first place, how are you going to find the money to maintain it, or fix the problems when they go wrong? And they will go wrong.

Don’t kid yourself.

Properties always go wrong – and I have yet to find a plumber who will accept buttons in return for fixing a temperamental boiler (although I haven’t yet tried that ruse with the electrician).

And you may think the “ideal tenant” who is going to rent your “free” property is going to pay you a shed-load of money on time and keep your head above water.  You may think there is enough net income left over every month for you to squirrel away the surplus and start saving towards your next property purchase (what am I saying, that will be “free” again, of course) but the fact is: sometimes tenants do not pay rent.  It may be for a whole raft of reasons that the tenant is not going to pay rent – but then what?

What are you going to do?

With no money and non-paying tenants how are you going to reclaim your “free” house?

The fact is: solicitors and court cases cost money.  They have not attended the same network meets and “buy-property-for-free-and-everything-will-be-allright” courses.  They have not met the “property guru” who knows how to do everything for free.

Because the truth is: they live in the real world of property investment.

The real world of property investment is a mean, bad, money-grabbing world which most novice investors cannot get their head around.  They do not want to hear the truth of “property investment requires real money to invest”.  Content with living a lie, these novice investors would rather attend a network meet, course or buy a book and be told how they can buy property for nothing.  How they can buy property for less than a can of Tesco Value Baked Beans.

They do not want the harsh reality that property investment actually requires REAL money.

Because that is not the dream of property investment.

Well, now it is time to wake up.  Get real.

If you want to invest in property, get some money.  It doesn’t have to be much.  But you do need a few grand to start with.

Only then, when you have actually got some money in the bank can you start thinking about investing in property.

Until then – enjoy your dream of buying property for nothing – coz that’s all it is.

 

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