Property is no a get rich quick scheme. It takes thoughtful work and real value add.
Don't wait to start. You do not need as much time/money as you think.
Time is money (you make money when you put in time, the more you work on your side hustle, the more successful it is).
Don't work overtime
Don't volunteer
Don't make other peoples problems yours
Establish your KPI's
Say no
Get out of meetings
Generate an email response:
"Due to high volumes of email being sent to this account, I am only able to respond twice daily between 10.30-11.30 and 3.30-4.30, if you require urgent assistance outside of these times, please call me on ..."
Curate a team
Estate agent to source properties
Investors to fund the property (people or bank)
Conveyancers to do the legal work
Architects to do renovation design
Builders to do the renovations.
The are many way to get funds but the best is the bank. The best way to secure finance is to be prepared:
Create an investment entity (don't trade in your own name - banks are not held to the same "reckless lending" rules with entities as they are with individuals)
Have a good credit score
Have a disposable income that can cover the bond costs
Submit all anticipated and supporting documents with your application:
Signed offer to purchase
Written valuation by a valuator (if purchasing below market value)
A business plan detailing the property and the finance required.
Professionally presented assets/liabilities, sources of income and cash flow summary.
Copy of ID and marriage certificate.
3 months pay slips
3 months bank statements
Signed lease agreements showing income from other properties.
Income/expense schedules of other properties and written valuations of those properties.
A copy of the company registration certificate
Audited financials for the past 3 years
Get a prequalification to take to potential buyers
Houses are a product that you know more than any other product just by virtue of living in one.
For buy-fix-sell make sure to add value
A wow feature (jacuzzi or braai area)
Additional room restructuring
Get rights to add value - zoning
Split a property into 3/4 units
A business that covers the bond is a successful business
Gearing = ration of rent (income) to bond (overhead)
Negative gearing - income 12000 expenses 14000 (you carry 2000)
Sometimes you may have to negatively gear until bond is paid down enough or rent has increased enough
Secure good tenants
Use a rental agency for background checks, credit checks, references from previous landlords (AND CALL THOSE REFERENCES), 6 month bank statement, FICA, letter of employment
2 month deposit
Rental insurance (against non-payment)
Join the Tenant Profile Network (like a black mark against renters)
Get the boss's email
Get prepaid water and electricity for ease of costing
Include maid/garden in the rent to keep maintenance low and eyes on the property.
Enact legal action THE DAY after non-payment, eviction is a long process.