Can you really buy a property with just one click?
Can you really buy a property with just one click?
By Charles Kelly
Author and creator of Money Tips Podcast
Joseph Kennedy, the father of John F Kennedy, once said that when shoeshine boys were telling him to get into the stock market, he knew it was time to get out. That’s exactly what he did just before the 1929 stock market crash, which was followed by a bear market which lasted for decades.
Sometimes I feel the same about property when everyone seems to be jumping on the bandwagon. Now, there is even a company offering investors a way to buy a buy-to-let property with the click of a mouse.
Can you really buy a property online just like ordering something on Amazon? Well, not quite.
Dot, a Californian company with offices in Manchester, effectively gives you the facility to reserve a property online, leaving completion and the legal work to be done later on.
Investors are told that they can buy one and two bedroomed properties costing up to £200,000 in a “few pain-free minutes”, with just a few clicks, and enjoy a yield of up to 6% pa. Once you have selected a property, the company sends out a computer generated image of what the property would look like when refurbished, without investors needing to visit the site themselves. I guess this would be of more benefit in America where a site visit could involve thousands of miles of travel and even a flight.
The company is currently packaging up to 40 flats in Manchester, Birmingham and Leeds, Cities which it has identified as rental growth areas.
They told the Sunday Times that they expect it “will be completely normal for an investor to acquire, renovate and hold properties without ever visiting them in person”.
After the property has been reserved and Dot has carried out a credit check and verified that the investor is earning at least £30,000 per annum, the company lends investor the money to purchase the property and pay all of the stamp duty and legal costs, plus Dot’s 3% fee – which is £6000 based on a typical £200,000.
The loan, effectively a bridging loan, is offered at 0.6% per month or 7% per annum for 12 months. Investors are required to contribute a minimum 25% deposit.For full article, see http://www.moneytipsdaily.com/can-you-really-by-property-with-one-click/
Word of the Day
Land Registry
Official government body that registers most property titles in England and Wales.
Your solicitor will normally do a search to check ownership as well as registering your interest in the property once you have completed your purchase.
The best way to get into property is to do your homework and learn from experts. If you would like further details on how to learn about property and become a professional property investor, email charles@charleskelly.net
There are more examples and practical steps to getting rich and being happy in my book, Yes, money can buy happiness, I cover the 3 R’s of Money Management, the Money B.E.L.I.E.F System and much more. Check it out on Amazon http://bit.ly/2MoneyBook.
See also:
How to earn up to 500% higher yields on your investments without high risks
3 Myths of Property Investment
Should you be buying Gold?
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