16 Mar How to buy a house for £1
You may have seen the recent series on Channel Four called The £1 Houses: Britain’s Cheapest Street.
When Liverpool Council decided to sell off derelict houses in the Wavertree area for just £1 to first-time buyers, many jumped at the opportunity. The problem was, they couldn’t take ownership until their renovations were approved.
The series followed the fortunes, and misfortunes, of those brave enough to take up the challenge. As these buyers found, the reality was far harder than they expected.
So, is it a myth? Can you really buy a house for a £1? Or is it too good to be true? Here at Property Mastery Academy, our property mentors can show you other ways to achieve this dream.
Take the ‘Lease Option’ scenario
Lease options, also known as ‘rent-to-buy’ or ‘rent-to-own’, can offer a win-win situation for struggling homeowners and those who would like to get onto the property ladder but have limited funds.
Take this scenario as an example. A homeowner has to sell because of a divorce, or job relocation, but the housing market is slow in their area.
At the same time, there’s someone looking to rent but who can’t afford a deposit. The two can be brought together with a lease option. The homeowner moves out, and the tenant moves in and takes over the cost of the mortgage. At the same time, the tenant is given the choice (the lease option) to purchase the property (at a pre-set price), during or at the end of a certain period.
The tenant (or an investor who then finds a tenant) pays an ‘option fee’ upfront to secure the deal. And this can be as little as £1.
The tenant/investor then takes control of the property with the understanding that in the future they will pay the original owner the agreed price and take full ownership.
Learn about other property investment strategies
As this example shows, you don’t need to be rich to get yourself on the property investment ladder – you just need to know where to begin.
And you don’t need to have a ready-made stash of cash just waiting to invest. If you’re serious about property investment, then the best thing you can do is to listen to the experts and benefit from their experience.
The knowledge you’ll receive from a seasoned property investor is invaluable. You learn from their mistakes and successes – and develop the foundation you need to forge ahead with your own property investment business.
Ready to hear more strategies from our property mentors?
Register for our Property Foundations Course to understand the different property investment strategies that you can use in today’s property market.
This property training course is for you if you’re just starting out in property investment, or you need a refresher. Perhaps you’re already established but looking to diversity by trying some new investment strategies? This course will teach you 12 strategies in 3 days.