Property Mentoring - £105,000.00 deal that I turned down!

I believe you all have had all the introduction you need to who I am from my website www.GeorgeGannon.com. so for my first post. I thought I would GIVE something to you and explain why I said NO to a deal with a potential profit of £105,000.00 this week.

Why say no to deal that has a potential £105,000.00 profit in it?
Well its all about knowledge and becoming a professional property investor / developer opposed to an amateur.
£105,000.00 a year sounds great right? But if you look at the principals of the deal I had, you could see that £105,000.00 is only 25% profit margin on Gross Development Value (GDV) – the end re-sale value.
Now 25% profit margin might be great for the novice, after all if you cannot sell the project after you might be able to get a 75% LTV mortgage on each unit you create.
Well let’s say What if!!
What if the comparable end re-sale figures you based your valuation on devalue, as you have a distressed seller on your street that sets a new precident for asking price on the street so your now competing against or even have lower sold comparable figures!
What if you miss a major cost out on your build costs or an unforeseen problem arises that the contingency does not cover. A major falling out with contractor etc, any factors of which resulting in build costs going up!
So 25% a good £105,000.00 looks good on the face of it but if re-sale figures go down and build cost rise you could be in a precarious situation. Leaving that very attractive £105,000.00 diminishing very quickly.
Why take the risk on a deal with 25% profit margins when there are developments with 40% profit margins out there, especially in the current property climate.
Now this property mentoring Tip No. 1 that I want to share with you all.
Only ever proceed with a project that has 40% profit margin’s. That way you have plenty of fat in the deal against any unforeseen issues that may arise.
Change your mindset change your results!
If you want to know more on increasing your profits whilst also reducing your time in doing so feel fee to contact me for an informal chat on how I can help you at: gg@georgegannon.com
Thanks for reading -
George Gannon, Property Mentor – ‘ignorance isn’t bliss – its ignorance’
http://georgegannon.com/mentoring/

Property Mentoring can change your Life

Sometimes we are in a hurry and have to sell the properties in a less profit. In that case Progressive Property Mentoring is needed for you. Active and prolific trainers are needed to make the actual profit from your property and they should be authorized and trustable. 

Property Mentoring is  becoming the most attractive and widespread phenomenon from the last few years. By understanding some formulas and ways to learn simple figures you can earn more profit, in fact double of it. Because of the lacking of the proper training you might be loose a lot of money y if you are a novice investor. There are many examples where developers delays to brought their projects in the market and that makes them defeated by their competitors. 

 Property Training gives  you proper ideas and gives you the confidence to solve any types of problems in your life. But before taking any type of training you should be very careful, as it is going to create your basic knowledge about property management. The team that’s you are going to follow is needed to be experiences and should have proper knowledge about your life and future.

 Property Education is going to teach you how you are going to deal with the values. Normally there are so many critical situations will come in this area but what is going to help you is these types of training. It is going to give you the strength to fight with the extreme level risks and any problems. Not only that, if you want to find out the cheap finance system, then these tutorials are going to create a strong infrastructure for you. 

In this trek you will need a hand from outside and guide to follow the rules and regulations as well. In London Property Mentoring is most important as there are many systems to follow and to make more profits. 

It is not a matter of one day or one month, to learn about this area you will need time and the more you will learn about the properties the more you are going to lead. You will obviously have a portfolio and you have to make it more attractive and rich. The training will make you educated about the maintenance issues as well. You will learn that how you have to handle any property related issue. Handing if tenants are not so easy, you are going to learn it from there as well. 

The law and enforcement issues are the most critical port and that is why many people are afraid to come in this area though they have enough investments. There are various examples where you will see that who has started from very beginning and struggled a lot after proper training in properties they have started their own company. So a consultant who has the right experience and the right knowledge can change your professional and personal life. They will train you from finding deals to the profit and make your life remarkable and flexible.