Dear Property Doctor,

I’m planning to invest in property early in the New Year – what sort of capital do I need to invest to get started? I don’t have any savings to speak of – is there some way that I can do it without having a pile of cash behind me?

Let’s do some rough figures here. If you were considering buying a property worth say £100,000 you would in general terms need to find a 25% deposit (£25k) legal costs might add another 2% (£2k) and assuming no work needs doing to the property then you would require around £30k. I would also strongly advise you have a contingency fund of at least 3-5% of the property value to cover repairs and voids.

To answer the 2nd part of your question – is there a way of doing it without having a pile of cash? Yes there is – why not consider doing Joint Ventures with people. I’d recommend attending local property networking events to find potential investors. You might also consider using creative contracts such as lease options which will allow you to invest with much smaller sums of cash.