Saturday, 14 December 2013

Do you work as hard as you can to pay your mortgage off or do you make your money for you?

The Telegraph recently ran an article stating that more mothers have gone back to work in the past two years than in the previous 15 years.  Suggesting that perhaps in the current economic climate more mothers need to return to work.

At Midas we work really hard to help our clients make their money work for them which does not necessarily mean them actually going to work. We have a client, who understands our philosophy of not paying their mortgage off, and using their money to make money.

Our client, Mrs F, has remortgaged her existing house and bought two more properties - one a holiday home in Devon (which she can also use for holidays) and the other a property in St Neots - 40mins to King’s Cross station in London.  The Devon property is now bringing in an 8 percent return, St Neots rents for £1,300 a month. 

The profit on these two properties covers the payments on her original property she remortgaged and covers the mortgages on the other two investments.  In addition to this she has an extra £700 a month income.   The question we ask those looking to change their lifestyle is “Do you want to work or start making your money work for you?” We all have one life and one chance; money makes money.

Ian Clark , MD 

Saturday, 7 December 2013

Where would people live without Property Investors?

Investors have been criticised in recent press, with calls that they are making money at the expense of their tenants.  Ian Clark comments on their importance:

“Investors have become extremely important in supplying the demand for rental accommodation.  There are many people who criticise Landlords for being greedy and for making money out of this industry but where would people live if there wasn’t this supply?

This is especially true for young people leaving home/University where they can rent fully furnished properties in superb locations without having to save for deposits and furniture etc.  Prices are, and have continued to rise for the last few years but what people conveniently forget is how far prices were driven down in 2006/7 when the market was saturated. Rents dropped by 30/40% in this period and I believe they are now at an acceptable level, most Landlords were losing money on a monthly basis during this period as rents were well below what they were paying in mortgages and service charges.

Property rentals are no different to any other consumer market therefore the supply and demand ratio will apply.”

For a free one to one consultation about your property investment queries please get in touch today.
0117 9117590