Buy to Let starting out – Families DSS Student HMO?

Reply to the comment left by "Chris Byways" at "28/03/2016 - 10:58":

Hi Chris,
For a new investor you may need to set out abbreviations in full. I would otherwise agree entirely with your advice. As one who has not yet sold any of my BLT properties,I would advise
buying cheaply, improve to a good standard (to reduce future maintainance costs)and build up a good relationship with local contractors. Better to progress slowly and carefully than rush headlong into buying properties- that is the easy bit of being a landlord.

Reply to the comment left by "Mike W" at "28/03/2016 - 12:44":

I wouldn't go near the Stock Market unless you have hours to spend trawling through the financial papers. There are to many crashes.

BTL if you can do it without mortgages is still an excellent bet, but as has already been said look for areas with good capital growth. Buying cheap is only safe if they are not cheap because no one wants to live there.

Some great advice from people more experienced than me, therefore my advice would be to please be aware and prepare yourself for being a LANDLORD and the responsibilities that this entails. Consider joining an association like the National Landlord Association and do their courses. Network with other LLs. Treat being a landlord as a new career and learn about it. Wishing you all the very best.

Reply to the comment left by "John Walker" at "28/03/2016 - 14:31":

Hi John,

Which abbreviations, the only less common ones were CT, Council Tax, and RGI, rent guarantee insurance, any other?

Would you like to meet up for a coffee one day? I think you are in Builth, I'm not far away 20 miles or so. Chris.byways at gmail.com if you would like to, nice scenic run out there!

Excellent advice Robert.
I have a portfolio of 15 properties in the Sheffield 5/6 area, and all are let to DSS tenants through Sheffield Council's PRS Scheme. A couple are also let through a homeless youth charity. Over the last 5 years I have had hardly any "voids" only when property is first purchased and usually takes 2-3 weeks to prepare to a basic spec / viewed / let and start making a return on investment. All properties are self managed, as most agents in my area seem to be untrained, over paid, not to be trusted con merchants.
The latest joke doing the rounds in Sheffield at the mo is " How can you tell when a letting agent is lying ???? Answer, " Their mouth opens !!!
I can't understand why anyone in the BTL industry would not use mortgages for leverage because at the end of the day it is "return on investment" that really counts and not "yields".
For example 25% ltv btl interest only mortgage on a 60K house in S5, repayments typically £140 per month. HB direct to landlord is 107.11 per week or £465 per cal month, profit just under 4K per property minus repairs/ gas cert/ insurance, works out approx 3.5k per year on a 15k investment.A annual 19% return on investment ain't bad plus the added bonus of capital returns.
Robert, I would be very interested to learn where your properties are located in Sheffield, and maybe we could meet up and swap info/ advice, and plot the downfall of Georgie boy Osborne.

Hi Chris,
Thanks for the invitation to meet up, please give me a ring on
01982 554 765, leaving a message if I'm not in

Reply to the comment left by "Steven Tennant" at "28/03/2016 - 16:08":

Hi Steven

Yes, I'm sure we could exchange a few tips, and a few horror stories!

I used to work within the Council's PRS team about 6 years ago, so I'm well aware of how they work. When I first started letting properties in Sheffield I did offer some to the PRS team to nominate tenants to, but they took so long doing things the properties were always let before they had even listed them, so I gave up offering them.

I have properties in the following Sheffield (S) postcode areas: S2, S4, S5, S9, S12, S13, S64, S66, S80, and S81. Some I own, some I lease from other owners (rent to rent scheme). Some are HMOs, some are family lets.

I share your opinion of letting agents, and no longer offer any of my properties via letting agents, even those a long distance away (I have properties as far south as Oxfordshire).

Reply to the comment left by "Robert Mellors" at "28/03/2016 - 16:50":

Hi Robert,
I first started using the PR Solutions team 5 years ago in Sheffield and have no complaints at all. Any problems and they are "on the ball" immediately, they also have access to the HB computer system, so can answer any queries with no delays.
The only worry I have is that they are now rolling out UC in Sheffield but only for single claimants, so I ain't affected just now because all my tenants are vulnerable young girls with children but am gradually moving the properties over to charities on company lets.
Have you had any dealings with Sheffield's PRS ? If so, Do you know Lem/ Stewart/ Kate ?
The last "void" I had was a young mother who had recently found full time employment, needed to move to s35 from s5 and the house was re-inspected, re-viewed, and re-let within 6 days by PRS.
When I purchase a new property, it is normally occupied within 10 days using PRS. They must be more efficient these days?

Hello dear,

Is all depend on how much rental income you want and how many properties can you deal with. If you buy from the auction then the capital you have is enough to buy 5-6 two bedrooms house / flats in south yorkshire area and if let their rental income pcm is abou £400 each less the runing costs. Good way to start is buy from auction and the best auctions in that areas are Eddisons in leeds and Mark jenkinson in sheffield

Rest you can teach yourself

Hi Stephen,
If you want a hastle-free future, probably better to stick the bulk of your cash into a pension scheme, keeping the balance in cash or premium bonds. Retired 13 years ago, I like to see the pensions arriving into my a/c every month like clockwork. My own properties seem to become more costly and troublesome as time goes by.
Good luck with whatever decision you make.