12:53 PM, 14th August 2014, About 9 years ago 6
There are a number of offerings out there for sourcing properties, prepackaged up, sometimes even offering full management and so on. Presumably these take a healthy cut of the revenue, but does anyone have any opinions on what to watch out for, what are the advantages etc. ?
To explain my personal situation and why I am asking this, I have a couple of BTL properties I chose over the years, they are profitable in terms of return (even the one bought at 2007!), and are luckily in areas that are appreciating very nicely. So I feel I know how to recognise the fundamentals of a good rental investment. I am at the stage where I can release a healthy chunk of the equity to go up a scale, but pressures in the day job this year and next make finding properties in the manner I did before difficult, and outsourcing the whole property search becomes attractive …
There seem a lot of ‘too good to be true’ offerings out there, which is somewhat of a minefield to cross. And of course, the fundamental answer to this question is ‘if you cant put the time in, you have to pay someone else to’.
But given this, I would love to hear from you guys who have experience of both the upsides and downsides of using a company to select properties, or even sort out the whole purchase.
One basic question is about whether there is scope for fees paid for these kinds of services to be offset against tax…?
I know that purchase costs are not, but given some offer this packaged up with management, this might change things.
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