Syndicates / Property Clubs - 8% Rental Guarantee?

Hi, I'm a relatively experienced property investor, and have just been introduced to a firm offering 8% rental guarantees on properties bought through them? FOR THREE YEARS!!

Has anyone heard of something similar, and what's the catch?

I'd be grateful for some feedback, cheers.

Lewis

I have started to hear of this either for Student Lets or commercial property but it was restricted to 12 months in the first instance. I've yet to see how it works. I assume you're talking of UK properties here? I'm seeing some properties over the weekend one of which has a rental 3 yr promise so I will try to find out as much as possible.

Yes it's UK properties here. I've got the full details now and I think I'll be going for one.

No finders/sourcing fees, just got to find 15% deposit and stamp (they pay all the legals and broker fees) and I've got the choice of a number of properties.

I then get a monthly payment every month for three years. That's my mortgage covered and still got some cash left over!!

I can't really see the downside, so if I'm missing something, please someone point it out!!

Lewis

Hi Lewis

Would be very interested to hear who this company offering this is?

I too am a relatively experienced property investor (15 props) but have found it very tough recently due to sales values spriralling out of control yet stagnant rental values, and found that on the majority of the 'deals' being pumped by property clubs etc, and despite what the agents claim, simply won't pay for themselves (rental income less costs v mortgage payments).

Mark (mark@markwass.com)

Guys, complete property are offering the rental guarantee scheme for one year with the stamp duty paid for you too. You just have to pay the deposit. Moreover, you can double your rental income through the double rent system they have in place. Its worth while checking out.