House of Multiple Occupancy & PLO Property | Valter Pontes’ £1.94M Portfolio On Property Mastermind


– Our next case study is, put your hands together for Valter Pontes. (audience applauding) – Thank you. Thank you. My name is Valter Pontes,
I’m from Portugal. I’m going to share my journey with you, property journey and a bit about me. I used to say that I was made in Africa, and my mother persuaded my
father to have me in Portugal. So I was born in Portugal by an accident. Then I stayed in Portugal until I was, I was born in Portugal and I stayed there until I was in the second grade, we moved to an island
called Sao Tome Principe. I know you might never heard about, but it is a very beautiful island. Tiny over there, so you
guys should go for a holiday. However, it’s a very poor island, so growing up there I’ve learned what it is not to have food, clean water, things that
we take for granted. Then my mother and
father, they got divorced and my mother did whatever she could to send me back to Portugal. To send my younger sister
and I back to Portugal. So at age 16 I went back to Portugal. I had to look after my sister. I did whatever I could to look after her and to, it was a difficult situation. However, by a stroke of luck, I became a model. I know you think I don’t
look like that anymore. (audience laughing) But I was a model once and things were going well. The money was good, so I
could look after my sister. But you know, things happen in life, and I ended up losing my sister. When you get to the bottom, you have two choices. You stay there, or you fight back. I promised my sister that I
would be the best man I can be, and for that I moved to England, was kind of starting all over again, doing the menial jobs and, thank you. Doing the menial jobs and, I wanted to, so I came to England, I wanted to learn English
and get into University. So I started learning English
and I go to University. After the first year in Uni, I was thinking, okay, so Uni, after I’ve done all of
that, uni is not what really I was thinking it was, so in that summer I start reading books. And I read Property Magic Live. Sometimes you just know,
when you read something, like, this is what I have to do. And I knew property was what I have to do. So after I read Property Magic Live, I called the office and I spoke with Sarah and Sarah said, you can
come to Accelerator. The problem was, I had no money. Was in the summer and in September I got my student loan and I
was like, do you know what, I just used the money to
pay for the Accelerator. Came to Accelerator, very excited, and in the end of Accelerator
I was just overwhelmed. I didn’t understand
anything about anything. I was like, okay, this is difficult. However, I’ve noticed the theme
everyone was talking about Motivated Sellers, finding
properties, and all of that. And then I thought, if I become very good at finding properties, maybe, just maybe I can
come back and add value. So I read, I went back to Uni. I called Uni and said, look, I want to go to a gap year. I closed myself and I read books. I read books and I did
all the courses I could. It wasn’t just reading,
I started taking actions and I start getting good at finding deals, and I start making money. And then the second year,
I read even more books and I start making more
money by sourcing deals, because my objective was, by the time I come to Mastermind, I would have something to add to you guys, and I hope this year I’ve added
to each one of you guys, because that was my objective. So before I started Mastermind,
I had three goals. I wanted to stop sourcing. Sourcing was good, I was
making a lot of money. However, when you source,
you are creating wealth for investors rather than
creating wealth for yourself. And I remember I sourced a
couple of deals to investors and investors, they asked me,
what do you have in your name? Can I come and see one of your projects and I’m like, uh no,
because I just was sourcing. So I wanted to stop sourcing
and replace the cashflow with the properties I was planning to buy. So I wanted strategies that
have a lot of cashflow. For example, Rent to Rent,
Purchase Lease Option, HMOs, and Serviced Accommodation. But I didn’t know in the country where I could get that cashflow, so I collected data throughout the country to find the area. The third was, even
though I found the areas, what strategy to do? I use Purchase Lease
Options in London, and when I found the area, before I start
Mastermind I moved to the North. Basically a week before I start
Mastermind, I moved North. So I knew my strategies
and I knew the area. So my strategy was I
would buy HMOs in north, I could add value and
would give me cash flow, and I would do PLOs in London where I could maximise the cashflow. So I was set, I just started. This is a deal in Leeds. Leeds have an Article Four,
so this was an Article Four. And I wanted to change
this property to C3 to C4. However, because it’s an Article Four I had to go through planning. Everyone told me, don’t
go through planning, you won’t get it. I wanted to go through planning
just to learn the planning, because I’m going to buy promotions, I’m buying promotion now, so I wanted to go through planning, and that gave me a lot of learning. When people say don’t do
it, do the opposite, do it. This was a three bed, I wanted to convert into four bed HMO. I purchased for £135,000. The refurbish cost was £60K. Remortgaged to £237,000. The capital left in the deal is £23,400, and the monthly profit
is £1,087 with 10% void and all the bills. And the annual cost is £13,000. And the ROI, £53,000. So this is the second deal. I was doing sourcing, I was stopping, but I have a system that follows up, does all the followup automatically, and this deal came back. This strategy we learn, this
knowledge we learn here, we can use to help ourselves and we can use to help others as well. This deal in London, I put in the forum, investors didn’t want
because of the lease, it had a short lease. It was a two bedroom flat in London. The purchase price was 260. It was a three-year Lease Option and when the tenants extend the lease, the property goes to 360. So why did I put the tenants buyer in? He was renting, and now he has a property he
can live in with his family. When we start doing this, we can help ourselves
and we can help others. To be honest, it’s just a great feeling. I got 10K for this deal, but if you do like three of these, or if you do five of these or 10 of these, and it’s not even the money, it’s the, you can help others as well for doing this. This property I just got last, no, yesterday. It was my latest purchase. I can do many things with this property. It has a garage, I can
convert into one flat and the premiere development
and do a six bed, and then I go through planning. So many things I can do. So I purchased for £260,000. The refurbish cost is around 60. The remortgage will be around 360. It depends on what I do, then will be a bit, much, much more. With voids and a very conservative
figure, would be £2,855. Yearly will give me £34,000. If I change few things it
will give me a bit more. I will leave £60,000 in the deal but if I go through planning I will leave around 30K in this deal. And the ROI, even like
that is already 51%. I bought 1.4, almost two million worth of property this year. The passive income already
with void and everything is around £101,000 a year. Thank a lot of people, I
have to thank a lot of you. I have to thank Simon for creating this environment. Regardless of your background, you can come here and succeed. Alex Seery, we’ve been up and down. Billy Turriff, Maria, Keite, Manish. Annabella, Gina, Sebastian. He’s already in North America. And other people I didn’t put here. I’m going to be in trouble, you guys. (audience laughing) What is next? I’m going back to Uni. Uni just send me an email. Of course I’m not going back to Uni, but. (audience laughing) I’m going to expand my
company to Portugal. Portugal, I already
start buying in Portugal. Very strong market now. They have kind of Buy-to- Let now. I’m expanding now. Consultants, I have big
companies, small companies, individuals ask me to help
them with their social media, and teaching and consulting is something that I’m very passionate
about, and to help others, particularly young people. So it’s something I will work on. Design. I want my properties to
be not just co-living. I want them to be a home for people, so I’m working with a couple
of companies in Portugal, bringing furnitures just
to create something unique. Top tips. Find your gold mine area. Find the area you want to
invest, as soon as possible. Something that I’ve noticed, a lot of people, they
didn’t know where to invest. They spend a lot of time
looking for the areas. Find the area. Basically what I’ve done is see your goals, and your
goals will determine which area to invest. Find your area as soon as possible so you can focus on the daily tasks. Follow up deals. Most of my deals come from follow-up. I have a system that does this automatically, but if you do not have a system, have a constant team of fire. But have something that you
follow up with the deals because no today is no no ever, so follow up with the deals. And have a strong why. Your why will push you when you feel like you
don’t have strength. So find a strong why and stick to it, because I know wherever my sister is, I know she’s proud of me. Thank you guys. (audience applauding)

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