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How One Man Turned £500 Into £10m

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There aren’t many investors who can honestly claim to have started out with £500 and built up a portfolio worth £10 million in just 10 years. Ajay Ahuja has done just that – investing in buy-to-let properties.

Ajay, aged just 34, currently owns about 150 properties, with numbers rising every week. And when he tells you that his aim is to boost that number up to 1,000 properties in the next five years, the equivalent of a large village’s entire housing stock, you find yourself believing him.

He is, after all, one of probably not more than a few hundred people across the UK who have made the transition from small-time owners of one or two homes, rented out on the side to supplement their income, to something far more spectacular.

In the process he has also build up a series of lucrative sidelines in property-related services, from maintaining a website and dispensing twice-daily newsletter tips to subscribers, writing books on how to invest in housing, to finding other people residential properties for a fee.

Yet the lessons learned by Ajay are universal. They apply just as much to people who are starting out on the buy-to-let path as they do for people ready to move on to the next stage.

Moreover, in common with tens of thousands of other property owners who became buy-to-let investors, his conversion to serial ownership of bricks and mortar was accidental, a by-product of needing to find a tenant for his own home.

Full article at:

How one man turned £500 into £10m

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Do you not get the feeling that when one these stories turn up, that there will be something nasty lurking under the carpet, in a few months it will be in the press the rise and fall of *******, it's not that I begrudge anyone making money far from it, but when the stories start appearing like this it always makes me think, remember that guy Sing or something like that convinced everyone he was a successful entrepreneur, including many in government, turns out he was a fantasist, who in reality did not have a pot to pee in :D

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Do you not get the feeling that when one these stories turn up, that there will be something nasty lurking under the carpet, in a few months it will be in the press the rise and fall of *******, it's not that I begrudge anyone making money far from it, but when the stories start appearing like this it always makes me think, remember that guy Sing or something like that convinced everyone he was a successful entrepreneur, including many in government, turns out he was a fantasist, who in reality did not have a pot to pee in :D

Most entreprenteurs are like this, they rely on borrowed money to fuel their latest gambles and persuade others to cough up. cf Trump.

Alan Sugar had the sense to buy property so he couldn't gamble it away.

This guy may well be very successful; I'm pretty sure to get a 10m portfolio he must have some understanding of how to "do" BTL beyond guessing. I'd be interested to know simply what his leverage is.

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robbrent are you suggesting it is a bit like a celebrity marriage? everytime there is a big spread with two people professing undying love and how time has brought them closer, there is an anonymous friend who has already been briefed to give out 'her side' for the divorce spread.

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in fairness he gives some useful advice on the last page of the article. but i would question how easy it is to get 12% yield at this stage of the game.

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"By 2001, Ajay owned about 25 properties worth about £1 million, on which he owed some £600,000 in mortgages.

Today, his 150-strong portfolio is worth £10 million, on which he has about £6 million in outstanding mortgages. It would take a property collapse of exceptional harshness for him not to walk away a millionaire even if he were to give it all up tomorrow and just walk away."

This bothers me - rather than consolidate his millionaire status and diversify his investments, he's kept the same leverage and expanded in the same market. 40% is pretty good, though, I reckon if there were a sudden downturn he would know about it and get out in time.

Also, with that kind of portfolio, giving money to letting agents could be a mistake - why not poach a competent letting agent and give them a stake in the business?

Edited by the_duke_of_hazzard

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robbrent are you suggesting it is a bit like a celebrity marriage? everytime there is a big spread with two people professing undying love and how time has brought them closer, there is an anonymous friend who has already been briefed to give out 'her side' for the divorce spread.

:lol: It appears that way, everytime I read something like this, I remember reading a gushing report about the founder of the Gadget Shop, a couple of months later they went belly up :o

As some would say when you see it, it's gone

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Another VI media story to try and kickstart the newbie BTL market again

With the banks/building societies given up on FTB - they need stories like this to expand their first time BTL market

They are so simplisitic and hide a lot of detail, risk and, mainly, luck

They are tempting to my greed, but, c'mon, I'm not THAT stupid

:lol:

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Another VI media story to try and kickstart the newbie BTL market again

With the banks/building societies given up on FTB - they need stories like this to expand their first time BTL market

They are so simplisitic and hide a lot of detail, risk and, mainly, luck

They are tempting to my greed, but, c'mon, I'm not THAT stupid

:lol:

true, but it could be people like him, who bought when yields were very high, and who continue to expand and not diversify, rather than sell up - defying conventional logic perhaps - who will help prolong this boom indefinitely.

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true, but it could be people like him, who bought when yields were very high, and who continue to expand and not diversify, rather than sell up - defying conventional logic perhaps - who will help prolong this boom indefinitely.

Yep, you mean a long term landlord - they will always win but how many are out there ATM are?

IMO stories like this are aimed at the short term capital gain BTL'ers to, like you say, 'prop up' (as in ricketly old barn) the market...

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in fairness he gives some useful advice on the last page of the article. but i would question how easy it is to get 12% yield at this stage of the game.

He quotes that he would never take on a property with a yield of less than 12% in fact it is his golden rule. He is also living in the past. If you read his book he often refers to buying a property for a palty sum like £65k and when he talks about rent he quotes figures like £1000 pcm. The two just dont add up. It is almost impossible to get a 12% yeild these days.

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Guest Winners and Losers

It is almost impossible to get a 12% yeild these days.

Not almost - it IS impossible!

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He quotes that he would never take on a property with a yield of less than 12% in fact it is his golden rule. He is also living in the past. If you read his book he often refers to buying a property for a palty sum like £65k and when he talks about rent he quotes figures like £1000 pcm. The two just dont add up. It is almost impossible to get a 12% yeild these days.

that is exactly the problem i have with his advice now.

his tip about getting dss tenants due to stability rather than students is sound though.

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That will be on paper then will it? :rolleyes:

:D nice one, that's the thing about money tied up in property (may be not in this case, whu knows) but it does not matter how much a house is worth, it's an illusion, if you can't get the money out (for free)

The VI's say that you have so much capital tied up, and by the way do you want a mortgage to release it!

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He quotes that he would never take on a property with a yield of less than 12% in fact it is his golden rule. He is also living in the past. If you read his book he often refers to buying a property for a palty sum like £65k and when he talks about rent he quotes figures like £1000 pcm. The two just dont add up. It is almost impossible to get a 12% yeild these days.

This is nearly as bad as the BBC now running property investment programmes made 2 or 3 years ago

Desperate VI media hype...

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Yep, you mean a long term landlord - they will always win but how many are out there ATM are?

IMO stories like this are aimed at the short term capital gain BTL'ers to, like you say, 'prop up' (as in ricketly old barn) the market...

yes, but he wants 1,000 properties which, due to the way he is approaching this, maintaining a low LTV ratio, and the harsh reality of compound interest, is possible. not saying 1,000 properties on its own will support the market, but if there were say 10-20 characters like him out there, surely it would be a sizeable chunk of housing stock accounted for?

:D nice one, that's the thing about money tied up in property (may be not in this case, whu knows) but it does not matter how much a house is worth, it's an illusion, if you can't get the money out (for free)

The VI's say that you have so much capital tied up, and by the way do you want a mortgage to release it!

yes but to be fair to him, he seems far more interested in the rental income he generates rather than the paper value of the properties. he could sell up now for a huge profit if he was, as his LTV is very low - and it seems he intends to keep it that way.

Edited by Milkshock

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yes, but he wants 1,000 properties which, due to the way he is approaching this, maintaining a low LTV ratio, and the harsh reality of compound interest, is possible. not saying 1,000 properties on its own will support the market, but if there were say 10-20 characters like him out there, surely it would be a sizeable chunk of housing stock accounted for?

Scary stuff.

The rise of the long term landlord - squeezing the already tight housing supply - keeping prices high until more are built

Could last years....

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Could last years....

Unless a HPC pulls the rug from under his gucci slippered feet.

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  • 301 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?


      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%



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