The “Understanding Economics” course in Liverpool last weekend was a great success. This was the first time we have organised a course of this type and I was initially unsure how it would be received by the attendees and whether the content was pitched at the right level – after all, economics is a huge subject. One of the attendees wrote:
“I would just like to say a big thank you to yourself and John for the Understanding Economics course. We got massive value and confidence from it.
John has a great talent for getting across a subject that all investors should understand in a very accessible way. Now I can listen to the news and understand what the implications are and not have to rely on a journalist’s opinion. If only we were taught this at school.”
sat and listened to every word, even though I have a degree in the subject. John certainly knows his stuff and his exploration of some of the more peripheral consequences of the credit crunch, as well as the exchange rate multiplier effect and the Wall St Crash of 1929 were both particularly interesting and highly relevant in today’s economic environment.
Our next course will take place in London 29th – 31st May 2009. For further details visit the website at:www.understanding-economics.com
We are also very active with our personal portfolio. We have two refurbishment projects underway in Liverpool and one in Cumbria. Fitting out the latter property with a new kitchen, bathroom, carpets and decoration should mean we can ask £500 plus a week in rental. The mortgage has more than halved recently, so this will be an excellent cash contributor. I spent Monday viewing four repossessed properties which I am personally targeting, although there may be one or two legal hurdles we need to cross before taking a view on making offers.
In Cyprus, we have bought a re-sale villa which we are preparing for rental as well as a further two off-plan villas that will be completing in April. The rentals are going very well and we are seeing strong demand from Europeans who appreciate the extra value offered by paying for a holiday in sterling. The weakness of the pound against the euro is working to push up our occupancy, as we price our holiday rentals in sterling.
UK Distressed Assets – 60% below 2007 Selling Price
The Distressed Assets division of Jet-to-Let Investments secured another superb bank repossession property last Thursday.
The property is in West Yorkshire and sold in July 2007 for £188,000. We bought it for a client at £74,000 with a strong net yield and positive cashflow. At 60% below the selling price of 18 months ago, we think this is represents outstanding value and a very strong investment over the medium term.
The team has been busy this week with research, intelligence gathering and site visits in Liverpool, London, Nottingham and Manchester. For every property we make offer on, we will have rejected more than 100. By being ruthless with our selection criteria, we ensure that only the very best opportunities are presented to our clients.
The amount of work involved is substantial, but as each week goes by, the team becomes more efficient. The great economist Adam Smith, in his book “The Wealth of Nations” explains why this is the case. Nothing changes in economics. The principles from 1776 are equally relevant today.
If you would like to benefit from the opportunities available through Distressed Assets, please fill in the form at:
http://www.jet-to-let-investments.com/UK/index.html
If you filled in the form last week, please do not send it again. We have been overwhelmed with the response and will be contacting you very shortly – thanks for your patience.
Finally, the latest International Wealth Network event took place in central London on Monday evening. Nick Burrage and Oli Sutton, two of our Property Entrepreneurs, did a great job of organising the evening and there was an excellent turnout. Thanks also to Jess, Nick’s wife who also did a sterling job helping to organise the event. There was a really eclectic mix of people there and I know that Alun and Henry enjoyed meeting so many interesting people. Please email Henry Powell-Jones to find out when the next International Wealth Event will be: henry@jet-to-let-investments.com
Have a great weekend
Dominic Farrell