Why Lockdown Could Be A Huge Opportunity For Your Rent-To-Rent Business?
Do you think lockdown could provide opportunity for your Rent-to-Rent business?
Discover the top five reasons lockdown could allow you to grow your property business and how I am applying the learnings I experienced during the first wave…
Let's talk about Lockdown Part II – and interestingly I think that this lockdown could be a massive opportunity for you and your property business.
When the second lockdown was announced, I decided to reflect on the year so far. What happened in March and how our business had performed since the first wave. We've massively increased our monthly rental revenues, acquired six new deals – we had thrived through this period. I also looked at the performance of my mentees (who many had started during lockdown) and they've gone from strength to strength, achieving multiple deals, and now they're in a really great place financially.
So, to provide as much value to my listeners in this episode, I will be running through the top five reasons why lockdown part II could be a massive opportunity for you. As a bonus you can also get a free download of my Rent-to-Rent lockdown guide, I will post a link in my Creative Cashflow Group which you can join here.
I want to make clear that I don't want this to come across as insensitive, I know this is a really, really tough time for a lot of people. However, to the same degree, I want to share some positivity. I have currently increased the content I am sharing in the Creative Cashflow Facebook group. Showing you my day to day Rent-to-Rent activity in the hope that it will inspire you to believe you can achieve your goals even in these difficult times.
In this episode, you will discover
I have performed since the first wave
Disruption can create opportunity
Working on and not in your business is so important
Lockdown is likely to affect your competition
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Join a community of likeminded people with ambitious property goals, where I post daily property insights and motivational content request to join my Creative Cashflow FB group here.
As always, if you have any questions, please don't hesitate to contact me directly. You can direct message me on Facebook or join and ask me your questions within the Creative Cashflow Community.
Podcast Transcript↓
[00:00:56] I'm Simon and welcome to another episode, not just another episode, but the 20th episode of the podcast, where we talk all things property, Creative Cashflow and of course, how to be financially independent today, not in 25 years. And time is flying. It feels like just yesterday I recorded the first one of these for you. And now we've hit the 20th mark. So if you've not already guys, please drop us a review. Subscribe, share, spread the word.
[00:01:33] I can see the listeners are going up every single week. And I'm so glad that I decided to take the plunge to start this. So today's episode could be....it could be no other. You know, we had to talk about this today. Lockdown part two. And I actually think, interestingly, that this lockdown could be a huge opportunity for you and your property business. And the reason I know this, I don't think..I absolutely know, is because when Boris announced the second lockdown, I decided to reflect and we had a look at our cash accounts, business accounts when the first lockdown was announced. So, you know, at that point, I thought kind of we was doing really well and there was no disruption. And I compared my cash accounts on that date compared to when he announced the second lockdown last week. And I was quite shocked and pleasantly surprised. Our cash accounts had almost tripled. Yeah, and we'd massively increased our monthly rental revenues, we took on six deals during lockdown, so it's not a case of we just survived, we thrived and it wasn't just me. Loads of my mentees started their business last lockdown and absolutely smashed it. They've got multiple deals and they're in much, much, much more of a stronger position this time than they were last time. So before we get into today's podcast, I've got a special treat. I actually decided to do a bit of a guide to how to deal with lockdown.
[00:03:22] It's called The Ultimate Rent-to-Rent Lockdown Guide. And I will link it in the description of this podcast. It's a free download, you know, check it out. Let me know your thoughts and I hope it's helpful. But these are some of the main things that I did to get me through the last lockdown, and I would recommend it. So the way I'm going to structure today's podcast is I'm going to tell you the five reasons why I think this lockdown could be a huge opportunity. Now, before I do, I just need to do a disclaimer. I do not want this to come across in any way insensitive. I know that this is a really, really tough time for a lot of people. And I know that a lot of people are really, really sick with this terrible, terrible illness and virus. So I am not - and I want to make that really clear at the start - I'm not making light of that. However, to the same degree, we are now in a deep recession and I feel like it's my duty to spread a little bit of positivity in, you know, in in in terms of a pretty dark place. And any time you put on the news or the internet, there's a lot of news, some of it fake.
[00:04:44] And I feel like I just need to speak on that, because I can guarantee you this one thing. Whether you think you can or you can't, you're right. In other words, if you think now is the wrong time, then, yes, it will be the wrong time for you. But to the same degree, if you want to make this the right time, then there's huge opportunities to make that happen.
[00:05:06] So, number one, I think there has never been a more important time to focus on your financial security. You know, there's so much disruption going on at the moment and there's so many people that are relying on jobs that might not be there. OK, and look, this lockdowns a month, but it's likely to be extended, let's be honest, are we going to see lockdowns like this early next year or are we going to see lockdowns this time next year? How about if this is the new norm and we're going to see these lockdowns sort of sporadically over the next few years, how are you going to react to that? You know, do you want to be on edge not knowing if you've got a job? You know, it is so important right now, more than ever, don't be in a position where you're relying on an employer, you got to control your financial security and find other income streams. So I think, you know, you're never going to be more motivated.
[00:06:14] If you was ever questioning that, now is going to be the time when you're going to be like, right, come on, let me get my ass into gear and actually do something, OK? So be very honest and very clear. If you're relyiant on a job and you're not 100 percent sure if it's going to be here tomorrow, now is the time to set up some backup so that if the job falls out of bed, you're still good. You've looked after you and your family.
[00:06:38] Second reason why I think it could be a huge opportunity is actually because there's a lot of disruption at the moment, which means that there are actually massive opportunities. OK, let me give you an example. I'm seeing a lot of homeowners needing to relocate for new jobs, you know, maybe they've been furloughed, maybe they've lost their job and been made redundant. Maybe they're being relocated due to changes in demand and they can't sell their house overnight. So I'm seeing a lot of people, a lot of landlords contacting me and say, look, you know, could you guarantee our rent for five years so that we can go and rent elsewhere? Huge opportunities. Another example of a massive opportunity I'm seeing is that people that are just finishing off their properties or just ending up with empty available properties, they're going to be more and more motivated than ever.
[00:07:39] So there's actually an increase in demand for what you are offering, OK? And that goes across the board, whether it's rent-to-rent or whether it's purchasing, you know, whatever it is, people are going to be more motivated. So it's a great opportunity in that sense.
[00:07:57] Number three is it's a time to learn and be more productive. Now, look, I know some people will say, well, look, I'm still working the same hours or I have to still go into work because it's essential and I understand that. But even if you just take into account the social things that you can't do now restaurants aren't open and now non-essential bits aren't open. You're going to have so much more time that if you've been thinking about doing this for a while, but you complain you've never got time, well, now you do. And if you missed it, if the first time around you considered it but didn't do it, now is a second chance for you to actually go ahead and do it, so use the time to learn and be more productive, you know, research, listen to podcasts, maybe get yourself on a course or find yourself a mentor or whatever it is just to try and fast track your stuff, get calling agents, get your business set up.
[00:09:01] And by the way, if you do want to get set up with rent-to-rent, I've got a 12 steps checklist. Everything you need to do to get set up, that I'd be more than happy to share with you as well. Just hit me up on social media. Instagram is Simon Smith online. So hit me up on Insta, I'll be happy to send you that free as well.
[00:09:21] Number four. I think it's time to work on your business, not in, so when we're all busy and everybody's doing something and if you've got an existing business, sometimes you're just spinning plates, arranging maintenance issues and showing tenants around and, you know, doing all the hands on bits, all of a sudden now you've kind of got more time on your hands and you've got more head space to actually improve your systems, and not only is that a luxury, but it's a necessity because you need to make sure you calculate your burn rates and you're being as lean as possible. So use this to become leaner, to learn what expenses you can minimize on, you know, for example, in the first lock down, naturally, we stopped cleans for a while and our cleans sometimes cost us over a thousand pounds a month. So, you know, we stop those and within a few months, obviously that that adds up, you know, that does add up or other bits and bobs. You know, you might just think, look, you know what? We're just going to get the systems in place so that I don't always have to go to the property, you know, so that I don't always have to respond to every maintenance issue, get systemised and work on the business, not in.
[00:10:43] And finally, the fifth reason why I think it could be a huge opportunity for you and your business is because there's less competition, because you can guarantee most people are going to look at what's going on and they're going to think, don't fancy this, because it's not for the faint hearted. You're going to get of people that are going to think, I'm just going to wait till this passes. So, you know, it's the old saying, observe the masses, do the opposite. Be fearful when others are brave and brave when others are fearful. So a great opportunity for you to start and take control of your area. You know, if nobody else wants to put in the work, you go ahead and put in the work.
[00:11:25] So, guys, they're the five reasons why I think it could be a huge opportunity, a little bit of a recap. Number one, now more than ever, if you ever lacked motivation or a reason, you need to make sure your financial security is in control. It's in your hands right now. Number two, there's massive opportunities, guys, disruption in the market and more and more motivated landlords that will want to let you guarantee their rent.
[00:11:56] Number three, it's time to learn and be more productive. So even if you're still working guys, the social restrictions should give you more time to to make a start. Number four, sometimes when everyone's so busy, you get focused working in, doing the day to day stuff, rather than working on your business, your website, your systems, your marketing, get working on that to improve and use this as an opportunity. And last but not least, observe the masses, do the opposite. There's going to be less competition right now, I promise you. And it's a massive, massive, massive chance for you to take advantage, get yourself some deals, get all your ducks in a row so that when the lockdown's lifted, you can really, really make it count.
[00:12:43] So thanks very much for tuning in. As I discussed roughly at the beginning, I've done an ultimate rent-to-rent lockdown guide. It's a free download, so please check it out. I'll put a Bitly link in the description of this podcast episode. Thank you very much for tuning in. The 20th episode, nearly half a year already. So, you know, let me know how you're finding it. If you've got any other ideas for podcast episodes, drop me a line. And guys. Don't wait 25 years, get creative.
[00:13:19] Thanks for listening. For more information, check out Simon Smith online dot com. See you next time.