Help appreciated - 18 year old :(

Discussion in 'Interviews' started by Prakanta, Jul 8, 2019.

  1. Prakanta

    Prakanta New Member

    Hi, so I’m an 18 year old and I want to get into real estate - want to build passive residual income flows and ultimately get to around £20,000 residual monthly income at which point I’d consider myself beyond financially free and will reach my financial goal.

    I have 2 or 3 questions which I’d love to have answers for by those of you who are far more experienced.

    (1) How do I find myself a mentor?
    I’ve been convinced that having a mentor is the best way to ease yourself into real estate without making the newbie mistakes that most are prone to but am completely lost as to how I find one (is it online? Do it cost money?) - just can’t find anything on this.

    (2) Buy-to-let problems?
    Ok, with the tax changes that are going to be fully set by 2021, what are people’s opinions on buy-to-let - of course with it being harder to generate positive cash flows, rent prices will go up to compensate and people will tend towards incorporation. Though, this may maintain positive cash flow, taking out the money for personal income will lead to even higher taxes (from what I’ve read) - though passive residual income is linear with my financial stance, I don’t like the idea of higher taxes and the fact that if you choose not to take out money and suffer tax losses, these funds are pretty much illiquid so can’t be used for my month to month expenses as a normal person - maybe I’m completely wrong here.

    (3) If not buy-to-let then what?

    By 2021, what will be the best way to then generative residual income. Never been a fan of wholesaling or BRRR even though they are lucrative as passive income is what excites me the most. If not buy-to-let, how else is one, in line with the tax changes, meant to buy and hold and generate passive residual income flows.

    Sorry I have one more :)

    (4) How do I start by the time I’m 19?

    By the time I’m 19, I’m sure enough that I’ll have around £20,000 for a down payment on a property but I don’t have any lines of credit and from what I’ve heard you need 2 years of employment in the same industry to apply for a loan (maybe this is the US actually). Anyway I heard that most lenders will not let individuals buy-to-let if they do not already have a residential property. So (1) how do I apply for a loan and moreover (2) how do I get started since buy-to-let, if I have interpreted it right, is no longer that enticing for me.

    Genuinely appreciate it if someone would reply to these questions as it seems there are quite a few barriers to entry for a young person still into real estate. Thanks for reading through all of this mess if you did get to the end :)
     
  2. realdeals

    realdeals Active Member

    I think there used to be a mentoring program on this forum? Maybe admin might be able to help on this one?
     
  3. diyhelp

    diyhelp Active Member

    Some of the tax changes to BTL cannot be avoided (unless you go down the company route) but remember, the changes to mortgage interest relief will only impact higher rate tax payers at the moment.
     
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