Y our Pension is NOT Enough

1. Your Pension is NOT Enough Your chance to retire early!

2. ”Even if you’re on the right track, you’ll get run over if you just sit there” Will Rogers This report shares our view that anyone with a pension will get a shock when they retire! Their pension will simply not be enough to provide for them – they will become a burden on their family (if they are lucky enough to have one!). When the pension system was created post war, life expectancy was relatively good. The average man living to 66.4 years and women to 72 years old. With advances in medicine and better diets (both of those are suspect too) life expectancy has increased by a further 10 years; men can expect to live on average to 77 for men and 82 for women. Imagine the strain that is putting on government finances. A report by the Office of National Statistics* predicts that there will be a 61% increase in the number of people of 65. Couple that with a decreasing younger population – able to work and pay taxes and the coffers will dry up very soon! You may or may not also have a private pension, where you have visited a financial advisor and explained to them what your financial requirements are in retirement and they then have advised you on how much money to put in your own pension pot to achieve that. The private pension is similar to investing in property in the way that you have worked out how much you want in retirement and have decided on a vehicle to deliver that. Your pension however is at the mercy of the stock market where shares fluctuate and whereby you have no control over that whole process or are in any way able to add value or hold responsibility for that investment. Property gives you that control. Plus you can get a mortgage on a property but not on a share! *http://bit.ly/Ageing-Population **http://bit.ly/PensionWarning http://youtu.be/uwwWETjApYY

3. What are you going to do to supplement yours? The average person who has comes in to a lump sum of cash or has equity or shares that they want to invest to generate more income – will typically visit a financial advisor. They will only be able to recommend and speak about the range of investment and insurance products that they understand they would not have necessarily be able to advise you about property investment. We can help you to invest in property, so that you get an on going income now that will continue into your future. So get in touch with us and have a more in-depth discussion on what financial resources you have at hand and what the best strategy for you is now, to get the best return on your investment. Our team of professionals includes financial advisors that not only understand investments and insurance but they also understand the property market, in fact many of them are established professional property investors themselves. We mention the tension between traditional financial advice that recommends the buying of shares, or commodities and of course the obvious pitfalls of investing in a stock market that you have no control over. We also mentioned that you cannot get a mortgage or loan for some forms of asset class. Property is perceived as a more reliable investment by lenders – that is why they offer mortgages as a way to share the cost of purchase with you (for a fee) enabling you to make you money go further. “It is never too late to be what you might have been.” George Eliot http://youtu.be/K4LAaXZQs7M

4. This could be your life... Vicki is going to give an actual pension scenario so here are some assumptions about you. You're probably in the region of 45 years old with a house worth at least £400,000 you are currently paying off that mortgage as we have been taught* and currently have about £100,000 left on your mortgage. You are doing what you've always been told to and you're going to work for at least the next twenty years maybe more if the pension age keeps getting higher. When you retire you will have a big house that you own outright that is worth at least (for the sake of this example) £600,000. In twenty years it could be worth more. So you sell the house and downsize. The new house costs you £300,000 so now you have £300,000 cash. (Remember if your house is worth more, then so will all the other properties). How much will you need to live on per year at 65? £20,000, £30,000, £40,000 a year? Say for example being £30,000 -- Unfortunately that will only keep you going until you are 75, and then what? We already said average life expectancy is rising! How will you care for yourself, feed yourself, pay for the gardener, car, even a holiday? What’s the point of growing old if you can’t enjoy yourself? ”Never leave that till tomorrow which you can do today.”  *http://bit.ly/HomeNotAsset Benjamin Franklin http://youtu.be/qyDt98JfqLM

5. What if you thought like a profession property investor? Let's think about another scenario with the same details above but this time you decide you want to retire at 55 years old, to enjoy life, perhaps travel, and spend lots of time with the family, whatever! Think about this strategy, we release now £200,000 equity from your house and invest that money into 6/8 properties which can bring in around £2000/£2500 per month in rental income after the mortgage on the investment properties have been paid. When that money comes into your bank accountant you can then pay back the mortgage on your residential mortgage. Even after costs you should be getting around £1500/£2000 a month income -- that's nearly £24,000 a year. So for the next decade you will be earning £24,000 a year in rental income. You could reinvest that money to buy more property or you could just enjoy it to raise your lifestyle. If you did save the money every year you'd have nearly a quarter of a million pounds! ”To be prepared for war is one of the most effective means of preserving peace.” *http://bit.ly/HomeNotAsset George Washington http://youtu.be/qyDt98JfqLM

6. Now let’s compare the two examples One version of life Age 45 you had the chance to invest in property You thought it too risky You thought you would be okay You did nothing Age 65 (if you are lucky) you retire. Sell the family home and downsize Plant £300,000 in the bank (because you can’t get a mortgage now you are not working) Age 75 – the money runs out The State pension is not worth anything after years of inflation Your private pension, based on the stock exchange, has only yielded an average of 10% total growth A better way of life Age 45 you have the chance to invest in property You release equity form your home, use savings, pensions or other resources. Over the next 5 years you work with The Property Sourcers to create an appropriate cash flowing property portfolio. Age 55 you decide you want to retire early and have fun travelling Your portfolio is well managed and you set about a series of holidays You have approximately £24,000 a year income and an accumulated pot of more than £100,000 from past years rental income that was unspent. Age 65 – during the last 10 years you have reshaped the portfolio to sell some properties at a profit as prices have risen and cleared the mortgages of other properties to prepare for the end of the mortgage terms. You now have a smaller portfolio but the same rental income (assuming rents haven’t risen) You now decide to rent your family home, leave a family member in charge of the family property trust and you head off for a summer in the sun, in your newly rented apartment, where friends and family can visit. Next year you might take a cruise. So it's your choice – feel free to contact us to discuss your personal circumstances as everyone is slightly different but the principal holds – act now and secure your early retirement.

7. A quick example of a company pension Let's think about another scenario with the same details above but this time you A quick example of one family’s employer pension. There's around £150,000 in the pension pot. This is predicted to generate a whopping £7,000 a year when it's due, at retirement. This is after 12 years of service on a standard salary of £50,000 What if we could access that pension money now? £150,000 will get you in the region of 5/6 properties depending where they are bought. We buy in the north of England where properties are cheaper so you get better cash on cash returns on your investment but for now let's say £150,000 buys you 6 properties. Let's say that each property releases £250 every month after all costs, that's £1500 a month and it's £18,000 a year, until you retire and on going. Plus your properties will be going up in value over time. So what would you rather do, wait for whatever retirement age the government gives you and then have £7000 per year or think differently and have £18,000 a year, starting now. The choice is yours! If you'd like to know more please get in touch. ”Age is an issue of mind over matter. If you don’t mind, it doesn’t matter.” Mark Twain http://youtu.be/XKuj0bfRpxA

8. The Property Sourcers At The Property Sourcers we offer clients the opportunity to examine property investment as a mechanism to increase their personal income, through our five step strategic conversation. The result of this 2 hour meeting is our clients leave with a clear understanding of their options, a clear property investment plan. 75% of our client’s do not have the time to implement their personal investment plan themselves so we act as project managers. We find, fix and fill a cash flowing property portfolio resulting in additional family income and a feeling of financial security. To find out how we can personally help you please call or send us an email to arrange a free, in confidence conversation. • “Thank you so much for our Strategy Session last night – your no nonsense approach and willingness to share your knowledge has helped us enormously – I couldn’t sleep last night for ideas how to take our property business forward.” HA • “I can’t believe that I can retire so much early simply by using the equity in my home! In 18 months I could be on a tropical beach – carefree – thank you so much when do we start?” JN • “I just wanted to let you know that we are very happy with the new properties that you arranged for us. They already have tenants and just weeks later we have our first regular rent payments. This extra money will make all the difference to our quality of life now that I have been made redundant – thank you so much” LS 07795 49 2001

9. Vicki Wusche and Loran Northey Vicki starting buying her own investment property portfolio in 2008 and by 2010 she had enough rental income that she does not have to work anymore – she can choose how she wants to spend her time. Vicki enjoys helping people discover how property can help them and through personal strategy sessions Vicki helps people think differently about money and their home. And that is why Vicki wrote two books entitled Using Other People’s Money; how to invest in property and Make More Money From Property; from investor thinking to a business mindset Loran is a successful entrepreneur with her own training and development company, including a Harley Street practice, since 2005. Loran and Vicki first met in 2007 and when Loran started to see the benefits of investing in property, she asked Vicki to help her. In 2010 Vicki helped Loran and her family recognise the financial resources they could access to start investing in property. Now Loran is financially secure and spends her time helping The Property Sourcers’ clients to become financially more aware and more secure, something we all want in these turbulent times. www.twitter.com/VickiWusche www.twitter.com/LoranNorthey 07795 49 2001

10. Summary page Fact • We are living longer • Your home is not an asset • Your pension is not enough • The cost of living will rise • You will need support as you get older • You will end up a burden on your family or the state You can have a better future • You can retire early • You can leverage the equity in your home or savings to invest in cashflowing property • You can create your own cashflowing pension pot • You can retire early (did we say that already) • You can leave a legacy for your family • You will have enough money – if you take action Call, or email and arrange a time to talk about your plans and your situation. “What you do speaks so loudly that I cannot hear what you say.” Ralph Waldo Emerson

11. Financial Disclaimer The Property Sourcers, Vicki Wusche and Loran Northey are NOT a Financial Advisors, and do not give financial advice. Their role is to use their experience, knowledge and contacts to help you examine property as an investment opportunity. You remain responsible for any decisions you make. You must carry out your own due diligence. All decisions you make are yours and yours alone. The Property Sourcers; Vicki and Loran, accept no responsibility for any decisions you take, purchases you make or conclusions you reach. They are happy to refer you to any one of their team of professionals and financial experts - please ask.