Have you ever heard someone say “It's a piece of cake”, when they mean that something is easy?
The same can be true in property when you have the correct specialist knowledge.
Just to be clear, I am NOT saying that investing in property is easy. It does take time and effort, but when you know how, it is actually quite straight forward.
I want to share with you a very profitable, and little known property strategy, using the cake theme.
Imagine for a minute, that you own a café that sells, breakfast, soups, sandwiches, tea, coffee and cake.
You can either make the cake in house, or you can save yourself all the time and effort by purchasing the cake from a wholesaler that someone else has already baked for you.
Let’s say you buy the cake for £10 from a wholesaler. You can then cut the cake into 8 slices that you sell in the café for £2 each. If you add up the value of all the slices, it’s a total of £16 (8 x £2).
The important point here is that, “The sum of all the pieces is greater than the whole”.
You can use exactly the same concept in property.
You look for property on the market for sale, which is a freehold property that someone has already turned into self contained apartments. They have already done all the work (i.e. baked the cake for you). I am not talking about property where you have to do all of the building work.
Your solicitor can carry out some paperwork for you which will create instant equity. You can either sell the property for a massive profit or refinance it to get all of your money out and hold it for cash flow and long term capital growth.
If you don’t know how to apply this strategy, then you are potentially missing out on some fantastic opportunities available in your area right now.
This can be particularly beneficial to you if you are time poor because there is not that much time input from you once you know what you are doing.