Assuming you're keeping your properties for the longer term. Today let me share with you
one of the biggest considerations that you need to keep in mind before buying that first
investment property.
Hi, my name is Tony Law from Your First Four Houses. My channel is all about helping you
achieve financial freedom through property. If this is your first time here be sure to
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I've produced a series of six videos together for you, which are all designed to help you
find and keep the very best tenants in your property.
I've broken them down into six different videos. We've got Demand, Advertising, Viewings, Referencing,
Retaining and Removing tenants sadly. This one is going to be all about Demand. The high
demand means that you can afford to be a little bit choosy about the tenants that are coming
into your property. As opposed to if you put an advert out there and you get maybe one,
or two phone calls, we can't really be choosy about the tenants that you're actually going
to bringing into your place. Can you?
It starts off with choosing the right area. Now I've done a number of videos on choosing
the right area. Obviously, this is going to align with the strategy that you're using.
You've got to consider what is the right area for you to actually invest in.
Next, we're going to be considering things about the property, what is the right property
for you? Now again this is going to be dependent on the strategy. Let's imagine that we're
looking at a student property for example. Obviously, there's a certain amount of criteria
that you're going to want to sort of align with in order to make your property the right
property for those tenants. If it's a student property for example, how far away is it from
the student union? What kind of facilities has that got that aligns with what a student
is looking for? Maybe it's a two bedroom flat. Well if you're buying in an area where there
is an abundance of two bedroom flats, I'd suggest that maybe that isn't the right property.
Next, we're going to want to check demand. I did a great little video on this, which
I'll link to which will teach you exactly how to check the demand in any given area
of the country. You should also be using things like SpareRoom if you're renting out HMO's
because that's a great way of determining demand very, very quickly in any area of the
country.
Next, I'd like you to consider will demand be growing? Because in some parts of the country,
obviously population is building, or maybe they've done some development or big companies
have moved into an area, and is demanding more employees working in that area. Obviously,
that's going to increase the demand potentially, depending on the type of property that you're
investing in. Sadly it does work the other way round though. There are areas in the country
where demand is in decline, and obviously if this is about finding, keeping the best
tenants, that's maybe not the best place for you to be investing in.
Next, I'd like you to consider running a dummy advert and see what actually comes in from
that. If you get one or no phone calls then you have to ask yourself some questions, "Is
this the right place to be investing in?" If you get an abundance of calls coming in
and obviously that shouting out that you're onto a potential gold mine of an area there.
Lastly, I want you to consider one other thing. Demand equals retention. Now think about that
for a moment. If there is a great demand in the area that you're looking to invest in,
those tenants aren't going to be looking around at other places, because maybe there aren't
any other places to actually move to. So as long as you're a good landlord and you look
after those tenants, they're going to be with you for the long term.
I hope you found that one helpful. I've got a lot more content that I'm looking forward
to sharing with you on this. So be sure to subscribe to this channel, so you don't miss
out on anything.
My name is Tony Law from Your First Four House, and I will look forward to seeing you in the
next video.