Building relationships to get on in property investment
What’s one of the fundamental keys to success in property investment?
Building relationships. Yes, it’s a simple as that.
For an example of this, read our article: Building Business Partnerships in the Property Sector. It tells the story of how Property Mastery Academy founders, Mark Lloyd and Jackie Reeves met and became business partners, building several successful businesses in a variety of market sectors over twenty years before becoming property investors.
So what sort of relationships should you be looking to form to help you grow your property investment business?
Find joint venture partners
When it comes to a great deal, why would you want to share it with others? Because you also share the risk and the cost.
You don’t want to use up all your funds on one venture. You want to be able to keep some back for other opportunities. And if something should go wrong, the burden is eased by sharing it with others.
Especially if a project looks like it going to be a long haul, it’s worth bringing in other investors. Even if there’s not a massive amount of money involved, you want to have your cash working for you rather than sitting in slumber for too long.
Choose talented professionals
In many of our articles, we talk about the importance of building up a network of trusted professionals.
How do you do this? It’s about doing your research and trusting your instinct. This is highlighted in our recent article: Want to Know How it's Done? Mark and Jackie's Property Success.
In this instance, we talk about an architect who played a pivotal part in the success of a property deal. Why did we choose this architect? He certainly wasn’t the cheapest on the market. But he gave us confidence that he could see the deal through and had examples of previous successes.
This story illustrates the point of finding someone with experience in their field. Whether it’s a top-notch solicitor, a highly-rated letting agent or a brilliant architect – pay the most you can afford for the best.
Have someone in the right place
Sometimes the best property deals aren’t to be found on your doorstep. But is it worth investing further afield?
In our article: How do you make property investment work further afield? we talk about the importance of relying on local knowledge.
In this example, Mark and Jackie were able to create a small property portfolio in the north east thanks to the extensive network of contacts they’d built up over the years, including a fellow investor based in the Grimsby/Hull region.
You can begin by doing your homework and researching on Right Move, Hometrack, etc. Then when you’ve worked out some numbers, talk to local investors and reliable letting agents in your chosen area to see how your figures stack up.
Create a network of inspiration
Finally, building a network of people gives you access to a network of brains – and ideas. Why try and do everything yourself when there’s a wealth of knowledge out there just waiting to be tapped into?
You’ll find that once you start making connections, most people are willing to offer advice based on their personal experiences. And that’s where you’ll find the most lucrative sources of inspiration.
Want to learn more about property investment from our property mentors?
Look out for the next PMA Mentoring Programme; we’ll be running one in Feb/Mar 2018.
Our property investment strategies are designed to equip you with everything you need to get out there and make your mark in the world of property.
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