3 Things I’ve Learned From Virtual/Remote Property Investing Over the Last 8 Years

Today, I wanted to share with you some tips and tricks that I’ve learned from remote property investing over the last 8+ years. That’s right – for free. Don’t say I don’t ever give you anything!

With the current pandemic, almost everyone has been given the following two choices: either stop working or pivot to operate virtually. As the first option isn’t viable for most – the least I could do is shed a bit of light on how I’ve successfully worked remotely over the years.

Having spent the last six years fine-tuning how to run my business online, I can confirm it’s been successful. Despite the lack of courses, social media not being what it is today, and no readily available guidance on how to do so; trial and error has got me this far. And below, are my three biggest takeaways on the topic:

1. The capital growth myth. If I was to buy in the South, I’d need at least £100k to purchase a £300k+ property. Let’s say I get 10% growth, I might get £10,000-£20,000 off – which is not enough to re-lend against. Plus, because of the restrictions on the mortgage calculations on the devaluation, you can only lend up to a certain amount – even if you’ve got a massive discount on it. As I don’t like the headache of management; I don’t want HMOs. If I’ve bought a single let layout with my £100k, I wouldn’t be able to finance any money because of rent restrictions, meaning my money is tied up. Despite all of that, let’s say the universe was on my side, and I got 10% growth over the next three years; I’d have £90k. With that same £100k, I could go up North and get four deals at £25k each including deposit and refurb. With each deal, I could potentially add £25k worth of equity to it within six months or less, as the deals are more ready up there. And they will lend against them because it doesn’t hit the mortgage barrier. So I’ve made £100k worth of equity in six months, whereas down south I’d have to wait three years for £90k. Plus, I’ve got four houses I’m spreading the risk across. If one goes empty, I have three more still providing income. 

1. Everything can be done virtually; to enable me to travel at least once a month, work on my own schedule and live on my own terms. My team and office all operate virtually, other than the occasional in-person meeting. Obviously, in the current climate, everyone’s had to learn this, but I’ve been an advocate of it for a while now. I love to travel and make sure I have a break at least once a month pre-pandemic. Plus my wife is from Holland, so we go there five times a year. As I have identified this as the lifestyle I want; I had to make sure I could run my business to accommodate it. And I have, successfully. 

1. Lastly, the biggest thing that holds people back is belief barriers and comfort zones. A lack of understanding causes limitations. Having read Kevin McDonald’s book recently, I learnt this. He talks about rent to rents, which I had always been convinced wasn’t for me due to my lack of knowledge around it. However, having taken the time to read his book and understand his methods; I broke my belief on it. Although, I must say – I still don’t buy into it, it’s at least now not due to a lack of knowledge! A lot of the fear and misconception that feeds these belief barriers originates from coaches. As they set up ages ago, they’re in their comfort zones, and they’re not evolving. 

So that’s my three main takeaways, from eight years of remote property investing. I’ve learnt a lot of things, and I’m still learning. I’ve managed to establish a cookie-cutter model, which took a while, but all of the processes are now in place. I invest, let them out and forget about it – which works perfectly for me. I hope you found this useful!