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OPM Mindset For Property Investing · The Property Unleashed Podcast

• 0:00
  SPEAKER_00: Have you got an OPM mindset or not?
• 0:04
  SPEAKER_00: Let's find out, shall we?
• 0:17
  SPEAKER_00: Hello and welcome to today's episode.
• 0:20
  SPEAKER_00: My name's Mark Fitzgerald, and it's great to have you joining me here today.
• 0:24
  SPEAKER_00: So, what do I mean?
• 0:25
  SPEAKER_00: An OPM mindset when it comes to your property investing.
• 0:29
  SPEAKER_00: Well, what does OPM stand for?
• 0:31
  SPEAKER_00: Well, it stands for other people's money.
• 0:34
  SPEAKER_00: And I see a massive, massive mindset.
• 0:40
  SPEAKER_00: And I see this all of the time.
• 0:43
  SPEAKER_00: A mindset that is a real blocker for people when they're getting involved in property.
• 0:48
  SPEAKER_00: You see, property investing is going to cost you money.
• 0:52
  SPEAKER_00: It is dealing with big chunks of money.
• 0:55
  SPEAKER_00: And sometimes the thought of using other people's money scares people.
• 1:01
  SPEAKER_00: And it should do to a point because we always want to make sure that if we are ever using other people's money, that we are using it in a very safe and controlled way and we're only doing the best deals.
• 1:11
  SPEAKER_00: We're never risking anybody's investments for no real reason.
• 1:14
  SPEAKER_00: So it needs to be set up and it needs to be done properly.
• 1:17
  SPEAKER_00: But I also see the lack of money, the lack of funds, and the lack of mindset holding people back all of the time.
• 1:26
  SPEAKER_00: It was a bit of a blocker for me, I have to say, until I got out of my own way and then started using investment and investors to help me grow and scale my property businesses.
• 1:37
  SPEAKER_00: And I'm going to help you in this episode to do the same.
• 1:40
  SPEAKER_00: By the end of this, I'm hoping that you've really got that mindset out of the way and that's all about that mindset shift, if you like.
• 1:49
  SPEAKER_00: Because when it comes to using creative strategies for property investing, we need to start always with the fundamentals.
• 1:57
  SPEAKER_00: And the fundamentals are that OPM, other people's money, isn't just a financial tool, it is a mindset shift because many investors initially feel very uncomfortable asking for money.
• 2:13
  SPEAKER_00: They see it as begging.
• 2:15
  SPEAKER_00: And we all know how uncomfortable that is.
• 2:17
  SPEAKER_00: Or of just trying to ask for something and then being afraid of hearing the word no.
• 2:23
  SPEAKER_00: Remember, no is the most honest word in the English dictionary.
• 2:26
  SPEAKER_00: You know where you stand when somebody says no to you.
• 2:29
  SPEAKER_00: But what you really want to do is reframe the whole methodology of thinking that way.
• 2:36
  SPEAKER_00: When you have a solid deal and you're not putting it out there, you're not seeing if people would like to invest with you in that deal, you're being very, very selfish.
• 2:46
  SPEAKER_00: Why?
• 2:47
  SPEAKER_00: Because there's a lot of people out there with money who do not know how to do the property investing strategies that you know.
• 2:55
  SPEAKER_00: Now, if you're new to this or you've just started out and you don't really know a lot of the different strategies, do check out thepropertyunleash.com for our free tools and resources to help you with the different property strategies there from service to accommodation, HMOs, rent to rent, buying properties, below market value, refurbishing properties, purchase lease options, the list goes on.
• 3:16
  SPEAKER_00: Go and check it out for yourself at the propertyunleash.com, free tools and resources.
• 3:21
  SPEAKER_00: But the thing is, if you're not getting out there, you're not sharing these opportunities that you know how to do with other people, then you are leaving deals on the table, you're leaving money on the table.
• 3:33
  SPEAKER_00: And of course, you can become a solution to somebody who has the capital.
• 3:39
  SPEAKER_00: And they might be sitting on it at a very low interest savings account, and they're not making great returns on that money.
• 3:47
  SPEAKER_00: By working with you, all of a sudden they can get far better returns.
• 3:51
  SPEAKER_00: So that mindset shift is so, so important.
• 3:54
  SPEAKER_00: You can use other people's money as a scaling tool to help you with your portfolio and to help you to grow your property business whilst helping them at the same time.
• 4:04
  SPEAKER_00: At some point, even if you start now with money, and I have clients, one-to-one clients that I'm working with at the moment that have got money, but it's still in a very, very locked mindset that I'm helping them to open up because they're still saying, Well, I've got this pot of money and that's all I've got.
• 4:19
  SPEAKER_00: And if I spend it now and I can't refinance, then it's all locked up.
• 4:23
  SPEAKER_00: There is an abundance of money and people to work with out there.
• 4:27
  SPEAKER_00: So you really do need to make sure that you just go out there and you do good deals.
• 4:33
  SPEAKER_00: Because by doing a good deal, getting it cash flowing, it'll open the opportunity up to do more good deals because you have a track record of it.
• 4:40
  SPEAKER_00: By hanging on to that money for the best opportunity possible and never doing a deal, shows everybody else that you're not actually doing any deals, you're just talking about it and maybe even procrastinated on it as well.
• 4:52
  SPEAKER_00: So I would say go out there if it's a good deal, if it's going to make some money, go and do that deal and show people what you can do.
• 4:59
  SPEAKER_00: Then you can talk about it.
• 5:00
  SPEAKER_00: What are you up to at the moment?
• 5:01
  SPEAKER_00: Well, at the moment, I've just bought this property here.
• 5:03
  SPEAKER_00: I'm going to get it cash flowing at this.
• 5:05
  SPEAKER_00: It's going to be a nice little nest egg.
• 5:07
  SPEAKER_00: And then in a few years' time, hopefully I'll be able to refinance it out there.
• 5:10
  SPEAKER_00: But if even if I don't, I'm still making good monthly cash flow.
• 5:14
  SPEAKER_00: That is absolutely amazing.
• 5:15
  SPEAKER_00: A lot of people will look at that and say, I'd love to do that.
• 5:17
  SPEAKER_00: I'd love to do that.
• 5:17
  SPEAKER_00: I've got a bit of money.
• 5:18
  SPEAKER_00: How could I get involved?
• 5:19
  SPEAKER_00: Or how could I do that?
• 5:21
  SPEAKER_00: And those conversations are the best ones.
• 5:24
  SPEAKER_00: Obviously, it helps you to grow, it helps you to do deals faster.
• 5:27
  SPEAKER_00: If you've got a big chunk of money in the background that you can call upon, help you to scale any of those opportunities that you're coming across.
• 5:34
  SPEAKER_00: Remember, it's always going to make it a win-win and have that philosophy when it comes down to doing any deals because it's crucial to make sure that any creative financing deals are a win-win for all parties.
• 5:46
  SPEAKER_00: Now you could say a win-win-win because they'd want to be a win for the investor who's investing.
• 5:50
  SPEAKER_00: They're getting the return that they want and maybe the security that they want.
• 5:53
  SPEAKER_00: It's a win for you because that's the reason we're doing the deal.
• 5:56
  SPEAKER_00: And it's a win for whoever landlord, homeowner, vendor that we're doing a deal with there as well.
• 6:01
  SPEAKER_00: Creating a win-win for all parties is so so important.
• 6:05
  SPEAKER_00: And making sure that we lock things in in a truly transparent way with any investors that we're working with.
• 6:13
  SPEAKER_00: Okay.
• 6:13
  SPEAKER_00: It's about creating mutual value.
• 6:16
  SPEAKER_00: Obviously, you want to make sure that there's any security on that finance that they're bringing to you that they can have.
• 6:23
  SPEAKER_00: But sometimes you might look at a deal and you can say, I can't give you the security that want, I can't give you first charge because whilst we're going to use your money, I still need to get a mortgage on the property and they're going to take first charge.
• 6:34
  SPEAKER_00: But I can give you maybe a second charge if the mortgage lender will let you do a second charge, or I can give you an RX1 on the property, which means I can't sell or do anything with the property without your permission.
• 6:45
  SPEAKER_00: So at least you've got control in that manner.
• 6:47
  SPEAKER_00: Or of course, you can do a personal guarantee if you have any assets yourself as well.
• 6:52
  SPEAKER_00: So there's lots of different ways you can do things.
• 6:54
  SPEAKER_00: There's not one size fits all, but it's got to work for everybody.
• 6:58
  SPEAKER_00: What you really want to do with any investors is look to build the absolute best foundations you possibly can for a long-term partnership and always be upfront with everything.
• 7:08
  SPEAKER_00: If there's a problem, if something's delayed, if it's going to take longer, get on the blur.
• 7:13
  SPEAKER_00: Make sure that your connections with these guys and girls that you're working with, that you're borrowing money from, is transparent and you are doing everything in your power to make sure that they are going to get a return on their money.
• 7:26
  SPEAKER_00: You are going to be able to deliver on what you say that you're going to be doing.
• 7:31
  SPEAKER_00: Your reputation will be built on this.
• 7:34
  SPEAKER_00: And you only need to do one or two of these types of opportunities of using other people's money to help build your own portfolio for a lot of people then to be able to have that trust in you.
• 7:45
  SPEAKER_00: And of course, make sure that you have good security on people's loans so that they feel safe.
• 7:52
  SPEAKER_00: But equally to that, you are doing the right things, the moral things, and you are obviously making sure that their best interests are always at heart.
• 8:03
  SPEAKER_00: So one of the things I want to leave you with here is realistically have a think, have a really good think now, and start trying to identify people in your network.
• 8:13
  SPEAKER_00: It could be family, friends, it could be work colleagues, it could be associates, it could be friends of a friend, that sort of thing, who might have a capital sitting around in an account somewhere.
• 8:24
  SPEAKER_00: Now, the best thing to do here is not to go specifically looking for those people per se, but start having the right conversations.
• 8:33
  SPEAKER_00: Don't pitch to them, just identify people through a conversation that might say, Well, I've got a bit of money.
• 8:39
  SPEAKER_00: All of a sudden, then we start to build up a bit of a list of people who could potentially, potentially, in the right circumstances, want to do a bit of investment with you.
• 8:50
  SPEAKER_00: Now think about who might be looking for a better return on their money than they currently get in the banks.
• 8:57
  SPEAKER_00: And this is a massive thing.
• 8:58
  SPEAKER_00: It's an easy thing to trigger, it's an easy thing to identify.
• 9:02
  SPEAKER_00: It's all just about making sure that we put ourselves out there, we have friendly conversations and we know what we are doing.
• 9:10
  SPEAKER_00: Or if we're not 100% sure, we're in an environment where we can ask the right questions.
• 9:16
  SPEAKER_00: As I say, that's something that we do in my community all the time.
• 9:19
  SPEAKER_00: We are there to help and support each other, not just with me, but the other community members who, of course, course are savvy investors themselves.
• 9:26
  SPEAKER_00: We've got people that are just starting out, we've got people that are building portfolios, and we have people all the time that are having issues and are having problems, and we are there to help hold them accountable and help them through the difficult times.
• 9:39
  SPEAKER_00: So I hope you're gonna change that mindset of lack.
• 9:42
  SPEAKER_00: If you're looking at wealth and you're thinking to yourself, I don't have any money, why would anybody invest in me?
• 9:48
  SPEAKER_00: Uh, I'm gonna struggle to get loans, I'm gonna struggle to do all of these sorts of things.
• 9:52
  SPEAKER_00: Change that mindset.
• 9:53
  SPEAKER_00: There is always a way to do things.
• 9:55
  SPEAKER_00: You can lease furniture if you're getting hold of a good opportunity, you can look to do joint ventures, you can look to work with investors as well.
• 10:03
  SPEAKER_00: Never jump into any JVs, as I always say, without knowing the inside and outside of that person.
• 10:10
  SPEAKER_00: You need to know their underwear size.
• 10:12
  SPEAKER_00: Well, maybe not that quite extreme, but you need to really have a good gauge and a good understanding of those people as well.
• 10:19
  SPEAKER_00: So I hope this has helped you.
• 10:20
  SPEAKER_00: I really, really thank you for tuning in today.
• 10:23
  SPEAKER_00: If you could leave a five-star review anywhere you listen to this, I would really, really appreciate that.
• 10:29
  SPEAKER_00: It helps the channel, it helps us.
• 10:31
  SPEAKER_00: And you know, if you need any help with your property investing, feel free to reach out to me on the socials or email us or however you would like to contact us.
• 10:40
  SPEAKER_00: I'm very approachable and I'm more than happy to help.
• 10:43
  SPEAKER_00: So take care, and I look forward to you joining me in the next episode very soon.
• 10:47
  SPEAKER_00: Take care and bye for now.