100% financing of investment property is pretty much the hottest topic among property investors. If you can't do it then you run out of money and find yourself in a dead end.
This happened to me about four years ago. Then I discovered BMV investment -- using the legendary Mortgage Express product that allowed you to buy below market value and then refinance immediately to get your deposit back out. I went on a buying spree!
Since this product was withdrawn, investors have used many different ways to buy property "no money down"... Gifted deposits, sub-sales, mandated cash backs, standard securities and more recently -- the joint bank account method.
All these methods were at best a legal grey area because they involved not disclosing the full details of a transaction to the lender. For that reason, there are not many solicitors left that will use them.
But all is not lost...
I know it's not zero investment, but come on -- it's close!
When Rick Otton brought the concept of residential lease option investment to the UK in the early noughties, this became a reality.
A lease option is a legal instrument that allows you to control a property without actually owning it and ultimately earn from it... whether that be by renting it out or selling it on.
Rick also introduced property installment contracts -- also known as delayed completions or long-stop completions -- which are another way to profit from property without investing any of your own money.
These methods are extremely exciting because they allow investors to continue to help solve people's property problems and make great profits at the same time!
The other great benefit of lease options and property instalment contracts is that the monthly cashflow that is possible far exceeds that of the traditional buy to let model.
This is realised when selling a property on using these new methods. Because the buyer is paying for the property as well as paying rent, higher monthly payments can be achieved.
So, we've seen that 100% financing of investment property is no longer possible by traditional means. But there's a new way to get 100 percent investment property loans...
With the new creative property investment strategies and lease option investment as taught by Rick Otton, the property investor now has a far more powerful set of tools at her disposal!
<< Back to Financing Investment Property from 100% Financing of Investment Property
<< Back to Property Investment Blueprint from 100% Financing of Investment Property