WARNING bells are being rung over one part of the buy-to-let support industry — the high-cost courses and investment schemes that promise anyone can make millions out of property.
Adverts for property seminars are commonplace, with delegates told they can learn the professionals' secrets over a weekend, normally at a city centre or airport hotel. But many experts say that at best you will be told nothing more than basic advice that is freely available elsewhere, while at worst the whole operation will be a front for a form of property pyramid selling.
The government has started to clamp down on the worst of these offenders. It closed down three operations it had been examining and it is continuing to investigate and pull the plug on several more. The worst offenders take big upfront fees from clients and promise them outright ownership or a share of a selection of "specially approved" investment properties.
If clients get anything at all, however, it is likely to be the kind of properties no one else would buy and few people would choose to rent Selling up or getting your money back can prove impossible.
Experts say that common sense should warn people against taking part in the scams.
When a property investment scheme or training course is offering easy access to vast riches you should look for the catch. Buy To Let is not an easy way to riches, it takes a lot of time and dedication.
