Opening the Hidden Doors to Doubling Property Profits

Extract fromJohn Kerr’s Presentation

LHA StrategiesDon’t Knock LHA – Milk it!

• 4.8m people claim Housing Benefit;• 3.8m are single and 2/3rds female;• Govt spends £26bn pa;• Govt buys 40% of private rental market;• LLs may have no clue T is on benefits;• Find good HB Ts with Deposits/Guarantors;• LLs already have ALL of this action – You too?

http://lha-direct.voa.gov.uk/search.aspx

Profits from a 4 Bed House Hemel Hempstead - – value 230k

Multi let = £600 pcmPrivate tenant = £700 pcmLHA Tenant = £1000 pcm

Milton Keynes – 4 Beds

• Market rent = £825• LHA 4 bed = £959• Two HB Claimants – 1 X 3 bed = £750– 1 X 1 Bed = £505Total = £1,255 pcm

• 3 Claimants = £1,760+

High Cash Flow LHA Strategy

1. Convert into 4/5+ bed property and improve with paint and nice kitchen/bathroom if necessary - budget <5k.

2. Let to several claimants on long term Housing Benefits

3. Learn this process on first project and then repeat.

4. Monthly cashflow target = £700 pcm+ and ROI 20%+.

5. Check out Mike Frisby’s webinars etc on pin Academy

6. Work with an Expert First!7. …. And now for a quick Preview

Find a property like this one….

Milton Keynes LHA Rates

Financing the Property

Get Your Budgeting Right!

Option 1 – Private Tenant

LHA 4 Bed Family - Option 2

Two Housing Benefit Claimant Strategy - Option 3

Three Housing Benefit Claimant Strategy - Option 4

7 Bedrooms!!!

Top Tips• Find houses with extra capacity – windows/65 sq ft• Rental outcomes not pre-approved• Depends on claimant’s circumstances. May change!• Rent may drop if one claimant leaves/starts working!• Learn your JSA/ESA/DLA/ETC• Rent paid 4 weeks in arrears.• Finding right tenants MAY take several months.• Delegate to Letting and managing agents – unlikely!• Always seek: Advance rent, Deposit & Guarantor• Check out Mike Frisby’s webinars• Work with an Expert

John Kerr & Cassie Hicks Kerrjohn@yourpartnerinproperty.co.ukwww.yourpartnerinproperty.co.uk

Tel: 01582 380387