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The Property Podcast

TPP377: 5 deals we've already turned down this year

The Property Podcast

Rob Bence & Rob Dix

Education, Business News, Business, News, Investing

4.82K Ratings

🗓️ 4 June 2020

⏱️ 31 minutes

🧾️ Download transcript

Summary

This week on The Property Podcast, Rob & Rob are giving you lessons to determine whether you should be sticking with a deal or walking away from it. So, how are they going to do that? Well, they’re going to give you insight to five deals they’ve turned down already this year.  Most property investment deals Rob & Rob look at always look great on the surface (and are potentially ones we’d put forward to our Property Hub Invest clients). But after doing thorough due diligence, they discover issues. Issues that completely block the deal and they end up walking away. The Robs have touched on the many reasons why they’d walk away from a deal in the past, which you can listen to here. But today they’re giving you real examples of why they’ve turned down these deals so far in 2020.     We’ve also got a super positive news story for you this week. ‘Virgin Money relaunches BTL deals up to 80% LTV’ which is amazing to see right now, because not only are Virgin Money confident in bringing their products back to the market, they’re now allowing 80% mortgage products for investors, which is usually unheard of. It just goes to show that Virgin Money is positive about the property market and the way it’s moving forward.    And this week’s Hub Extra is a resource that can help you and your business no matter whether you work from home or in an office. It’s an app called Krisp and it’s a piece of software that detects and silences any background noise.  It’s great if you work in a noisy office or if you work remotely and are working from a busy cafe. Or even if you work from home and you’ve got a builder in, all that noise will be cancelled out and no one will know otherwise.   We’d love to hear what you think of this week’s Property Podcast over on Facebook, Twitter or Instagram. You might even have a topic you’d like us to cover in the future - if so, pop us a message on social and we’ll see what we can do. Make sure you’ve liked and subscribed to our YouTube channel where we upload new content every week!  If that wasn’t enough, you can also join our friendly property community on the Property Hub forum. See omnystudio.com/listener for privacy information.

Transcript

Click on a timestamp to play from that location

0:00.0

Deal or no deal? Well actually five no deals. This week we're going to take you through five deals that we've turned down this year so you can learn all the lessons and apply them yourself.

0:17.0

Welcome to the Property Podcast where every Thursday property investors come to be informed and inspired.

0:26.0

As part of the business we run we look at a lot of deals like a lot.

0:30.0

And this week we're going to dish the dirt on just five that we've turned down. We're going to take you into the specifics of deals that at first looked completely fine.

0:37.0

But on closer inspection, we just couldn't do.

0:39.5

So that's coming up after the news and stick around to the end because in Hub Extra

0:43.4

we've got a resource that's going to make those conference calls from home a

0:46.2

little bit more bearable.

0:47.8

So a super positive news story this week after so much doom and gloom in the

0:51.8

property market it's nice to bring you a new

0:53.4

story like this which is a sign of the things are moving in the right direction the

0:57.1

headline reads virgin money relaunches buy select deals of up to 80% loan to value.

1:04.2

The reason why this one is particularly significant, Rob,

1:06.8

is loan to value levels for Bightlet products.

1:09.4

Normally, cap out at 75%.

1:11.9

There are some that go higher, but the main market, most of the market is at 75%.

1:17.0

So to see Virgin Money not only being confident enough to bring their 75% products back, but

1:21.7

also 80% loan to value. It's just really good. Yeah you can

1:27.0

normally take 75 as being your kind of average and if lenders are feeling

1:31.5

cautious it might go lower and when they're feeling

1:34.0

optimistic it goes higher and we've seen it go over-optimistic and get up to 100%

1:38.3

and beyond in the run up to 2008 and we saw how that ended. But anything above 75% generally means that

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