My last blog post regarding my first property has been retweeted a fair bit recently so I thought I would follow it up with an update on my property journey.
I recently sold my flat that I referred to in my previous post. A friend of mine that lived in the same block of flats as me told me that she had seen flats in the same block selling for about £36,000 more than I bought mine.
Ever the opportunist; I decided to put my flat up for sale, within one day of putting it on the market I had several offers on the table. Within one week I had accepted an offer, and by the time I knew it I had sold my flat for a handsome profit and was back looking for my next investment.
Throughout the selling process; there were a couple of moments where myself, friends and family questioned whether selling the flat was the right thing to do. However, in the end I went back to the age old mantra, “no risk no reward”.
As a result of taking that risk I turned my initial £6750 deposit into £36,000.
Owning a property at such a young age came with it’s trials and tribulations but I have learnt many lessons and I have some brilliant memories of that flat and I can genuinely say all the ups and downs have moved me a step in the right direction to becoming a man.
Following the sale of my flat, I have now embarked on my next property investment. I have just joint ventured with a good friend of mine and purchased a two bedroom detached house.
The plan is to develop the house into two two bedroom flats.
Similar to my first flat, this house has been purchased below market value (BMV)
Purchase Price: £245,000
Deposit: £24,500 (10%)
Cost of proposed work: approx £100,000
Forecasted selling price: £260,000 per flat. (Total £520,000)
I’m looking forward to embarking on this new journey with the hope that this will be one step toward my aim of rivalling organisations such as Berkeley Group and Barratt Developments.
A couple tips I picked up along the way:
- Move fast
- Don’t let people discourage you from taking risks
- Sometime it’s better to invest in an asset than contribute to an ISA
- Never get too comfortable with being in one place
- You don’t always need to know how you will achieve your goals, you just have to have the belief that you will achieve them
I’m 24 now and I can’t wait to see what God has in store for me when I reach 25.