Like most things, we see things in hindsight. However we as property investors try to learn from our mistakes.
These were my mistakes
- We had been investing in Salford in 2014. Terraced houses were selling for 50-60k. Today they are selling 110k -120k. Eventhough we converted at least 30 properties into Social HMOs and made money, the smarter might have been put in more money and sit tight, collect rents and assess the situation.
- Mistake two, in 2015 we went to Blackpool which most people think is the bottom of the barrel. However the Home office is putting in £300 million plus the council has raised £40 million plus. We saw the oppurtunity last year and started to buy. However now, things are shifting so quickly. Investors from all over also see the oppurtunity plus the council themselves are buying blocks and terraced houses, doing them up, renting them and changing neighborhoods. We have one block of flats plus several terraced houses. Prices have shifted dramatically!
- So far, this is not a mistake. We have purchased, refurbished 25 social buy to lets and social HMOs in the NorthEast from mid July. We just finished our last Social HMO about 10 days ago. Low and behold Boris Johnson has been elected and he is promising to invest in the NE.
We have already seen prices shift in the areas in which we are working in the NE. Due to the fact we did 25 social buy to lets and social HMOs in less than 6 months, we have approved to provide another batch of 25 properties. More so, there are other social housing providers who are interested in us providing properties. There is so much need and we are creating value. These properties we feel are recession resistant as well.
What is most interesting is an article last night.
Boris Johnson win attracts more HK buyers to UK property
We have sold many properties to Hong Kong Investors and many are on our investor list.
We have learned from our mistakes. Once the Govt decides to invest in an area, prices stand the strong chance of price appreciation.