A Guide To Joint Venture Property Investing

These days, the property market is incredibly vast and varied. If you’re interested in making money from property and you’re considering investing then there is an opportunity to suit you, no matter what your needs and requirements may be as an investor. It goes without saying that this is incredibly beneficial and more so than ever before, anyone is able to invest in property and go on to achieve financial freedom.

When investing for the first time, many feel as though they may be lacking something that a good investor needs. Whether this is the finances or the skill required to make money from property, there is one property investment strategy that is perfect; joint venture. If you have never heard of this before or you’re unsure what it really is, keep reading today. Our team here at Fielding Financial have put together a basic guide to joint venture property investing.

What is joint venture property investing?

In short, joint venture property investing is when you invest in a property with one or more other people. In this situation, different people who have relevant resources or skills will work together on a particular property investment project. There are many different types of joint ventures and depending on your needs, you will usually choose to work alongside specific people.

What are the most common types of joint ventures?

Whilst, as mentioned above, there are many different types of joint ventures in relation to property investing, below are some of the most common;

  • Equal joint venture

This is essentially when you invest with someone, it could be a family member, friend or even colleague, on an equal basis. There are many benefits to doing this, such as spreading the risk and increasing the amount you have to spend.

  • Skilled partner joint venture

This is when you decide to work with someone who can provide you with skills and knowledge that will aid your investment. Commonly, people will choose to work with experts such as architects or builders, for example.

  • Majority investor joint venture

This is the opposite to the above. You will work with someone who will essentially fund the investment and you will do the majority of the work. This works well if you have skills s and time but not enough money.

Simply put, successful joint ventures work when all of the parties are bringing something useful yet different to the table.

What are the benefits of joint venture property investing?

The obvious benefit to using a joint venture when wanting to make money from property is that you’ll have access to other people’s experience, expertise, skills and/or resources. They will provide you with things that you require in order to be successful or that can make your investment even more successful. Joint ventures are tried and tested when it comes to property investing, so you can rely on this strategy if you don’t want to go it alone.

By ensuring that you have a legally binding joint venture agreement you will also be able to eliminate the majority of typical worries associated with joint venture property investments. This agreement will ensure that everyone is clear on their roles, responsibilities and rights within the joint venture and you can then simply focus on the project and reap the benefits of investing in property.

Going ahead with a joint venture

Ultimately, if you’re wanting to make money from property and you’re not sure whether you can be successful independently, a joint venture is a brilliant property investment strategy to consider. Hopefully, you will now know a little bit more about joint property ventures in general and why they are worthwhile considering. It goes without saying that when you would like to make money from property it really is important to think about all of the different strategies available.

If you would like to find out more about property investment and the other investment strategies before you decide how to invest, visit the Fielding Financial website today. Here at Fielding Financial, we specialise in providing investors with the tools they need to successfully make money from property. We can offer you a range of training courses as well as books and guides to help get you started in property. If you have any questions at all about anything you view on our site, don’t hesitate to contact our team today, we will happily assist you further.

 

 

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