Real Estate Investor Magazine South Africa May/ June 2020 | Page 46

UNITED KINGDOM
SERIES PART 1
Your offshore
investment mentor
How to invest in cash-positive UK property
SEAN THOMPSON
A
s a property investment coach, I go out of my way
to prevent investors’ wealth from being eroded and
mentor them as they set out to purchase property in
the UK. Being a UK property specialist means I can provide
unique insight into that particular market, which I first
explored 15 years ago. To do so meant taking a big step
outside my comfort zone. At the time, I was stuck in a dead-
end job in London, working for the Daily Mail newspaper. I
had very little disposable income and used to wake up on a
Monday morning wishing it were Friday afternoon. I wasn’t
passionate about my job and it was painful to me to have
to go in to work every day.
In 2003, after a wonderful festive season spent with my
family in South Africa, I returned to the UK. Reluctantly waiting
for my flight at O R Tambo International airport, I picked up
Robert Kiyosaki’s classic bestseller, Rich Dad Poor Dad. As
in the Gwyneth Paltrow film Sliding Doors, had I not picked
up that book, my life might have continued along much
the same trajectory – but reading it changed the direction
of my life. As American life coach Tony Robbins puts it, it’s in
moments of decision that your destiny is shaped.
The book led me to a property investment seminar in
London, in June 2004. It was here that I met my very own ‘Rich
Dad’ – my mentor Mark Dalton, who taught me everything
about investing in property in the UK.
Closing my first deal
Just six months after undergoing training, I managed to close
my first deal with my then business partner and lifelong
friend Matthew Watson. We decided to invest in the small
town of Burnley, situated in Lancashire, just 20 miles north
of Manchester. Burnley is famous for its cotton mills and has
a strong manufacturing sector. Property was cheap, which is
why we started there – rental demand was surging, and a lot of
money was flowing into the town to regenerate and uplift it.
Sean Thomson, property investment coach at Wealth Trek,
shares his journey to building a multimillion-pound UK
property portfolio – one which any South African investor can
emulate if mentored correctly.
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MAY/JUNE 2020 SA Real Estate Investor Magazine
With the help of my ‘Rich Dad’, Matthew and I were able to
buy a small three-bedroom mid-terrace property for just £26k.
We spent the grand sum of £5k refurbishing the property
and shortly thereafter it was revalued at £42k. Through
refinancing, we took our cash out and immediately enjoyed
positive cash-flow on the property. Crazily, our initial purchase
had been funded with credit cards! This allowed us to build
up a portfolio using other people’s money. It was the start of
our ‘cookie cutter’ strategy, the first rule of which is this: Buy a
distressed asset, add value by refurbishing it, and refinance it
at a higher value.
From the first deal to a multimillion-pound portfolio
I started investing in Burnley, but I have also bought and
developed property in Liverpool, London, and parts of Wales,
opting for strategies from buy-to-let and ‘flipping’ to social
housing and lease options. Although I live in Plettenberg Bay,
where I enjoy the South African lifestyle and weather, I am
actively growing my property business, specifically in south
Wales. There, I focus on buying large disused commercial
buildings and converting them into residential as well as
development projects. My latest deal is a £900k purchase.
I am demolishing the existing structure and constructing
12 new apartment buildings at a cost of £1.6 million. The
development will be worth around £3.5 million upon
completion.
Although I purchase buildings worth hundreds of
thousands of pounds and have a multimillion-pound
portfolio, it all started with that very first deal – and having the
confidence to take the initial step with my friend Matthew. I
know which steps are the right ones and when to take them,
and I add value to South African investors’ portfolios by
guiding them accordingly.
Mentoring other investors
Although I am an investor first and foremost, I am also a
property mentor and an international speaker. Speaking
and mentoring is my passion and I have been privileged to
train and mentor more than 7 000 investors in UK property
investment strategies since 2007. I’ve largely mentored
investors in the UK, but I have also started to coach my fellow
South Africans. Investors who are currently looking to diversify
their portfolios and want to get a foot in the UK property
market without having to leave our beautiful shores. Although
I have mentored investors as far afield as Australia and Europe,
I love to share my knowledge with investors back home.
My ‘Rich Dad’ made me realise that the more you give in life,
the more you get. In order to fulfil my destiny, I need to share
the knowledge I have acquired and set others on the path
to financial freedom. In the coming months, I will show you
how to move capital abroad and invest in cash-flow-positive
property in the UK. It may sound like something difficult to
achieve, but all you have to do is take that first step, guided
by an experienced mentor. I like to think I can help to light the
flame of financial possibility in others!
For a FREE Guide to UK investment visit wealthtrek.co.za
SEAN THOMPSON property investment
coach at Wealth Trek, helps investors stop
their wealth being eroded in South Africa, by
mentoring them to buy UK property within 12
months
SA Real Estate Investor Magazine MAY/JUNE 2020
45