How to Finance Deposits for Your Property Investments - Property Finance Tip from Kevin Wright

[@asmith20707]

Hi Kevin, I've just gone through every single one of your videos and I find them to be some of the most useful property videos I've seen, because finance is so key, and now you've helped open that door. Thank you very much.

[@KevinWrightProperty]

thank you, your positive comments are greatly appreciated.

[@eamonhannon1103]

Very interesting ! Can you cover the feasibility of mortgage or bridging finance for older people , say someone in their 60’s What is possible in this case ?

[@KevinWrightProperty]

happy to Eamon. Bridging has little or no age barriers. BTL mortgages likewise because collecting rent in not an activity that is diminished by age. Main residence mortgages are different, affordability is linked to earned employment. Although 65 is no longer the pre-described retirement age, lenders still want a mortgage to finish by age 70 in the main. For jobs involving manual activity, there is even less appetite to go beyond 65. Does that help?

[@samarshi539]

Very informative video.thank you Kevin

[@KevinWrightProperty]

that's the aim Sam, be informative

[@juliarusu5896]

Hi Kevin, I was wondering if I can use the student finance money for the deposit from sfe? Many thanks 🙏🏼!

[@KevinWrightProperty]

that is a loan and mortgage lenders do not permit loans to be used as deposits.

[@tamara9422]

Great Video Kevin!

[@KevinWrightProperty]

thanks Tamara, glad you enjoyed it

[@prosperesin]

Can I borrow money to use as a deposit to buy a property with a bridging loan, to start a property investment business... with a buy to flip strategy. Thank you

[@KevinWrightProperty]

yes you can, mortgage lenders don't allow that but bridgers do - happy days/

[@prosperesin]

@@KevinWrightProperty Thank you 🙏🏾🙏🏾

[@hindustanicricket]

Hi mate a quick question about bridging finance, lets say i get bridging finance on a property of 100,000 with 25% deposit, hopping it is worth 125,000. But i did not manage to increase its value by alot. When i get to the point of remortgaging how do i loose my 25%? Because the house is still worth 100,000. Will the bank not finance the house for 100,000?

[@KevinWrightProperty]

you don't lose your deposit Dinesh, you just leave it stuck in the property. If it was worth £100,000 you would get a £75,000 mortgage at 75%

[@seaneds4646]

Hi Kevin another great video. My question, are the mortgage companies restrictive with the remortgage from bridging and do they scrutinise your income as much as a straight forward mortgage. Thank you Kevin

[@KevinWrightProperty]

Glad you like it Sean. When you remortgage from a bridging loan, mortgage lenders scrutinise you every bit as much as they would do otherwise. Using bridging does not change that.

[@asmith20707]

@@KevinWrightProperty So if you bridged to do an HMO as your first buy to let, could you still get a refinance mortgage? Because you can't normally get an HMO mortgage as a first project. I've seen a video by another broker who said you can. He said bridging was a way to get around the need for experience. Thanks.

[@tc5111]

Hi Kevin, great videos! Can I ask if bridging lenders care about if the some of the capital used originates from other borrowing e.g. a personal loan or 'money transfer' facilities from credit cards?

[@KevinWrightProperty]

unlike mortgage lenders TC, who care very much about borrowing the deposit, bridge don't care

[@tc5111]

@@KevinWrightProperty Thank you!

[@KevinWrightProperty]

@@tc5111 - welcome

[@luxslist5724]

Hi Kevin great video , i have 40k unsecured personal loan and 40k gift from my family , so i understand i can only use 40k gift as deposit for bridging loan so i won't get any troubles in getting btl loan in future from a bank ? As i have 80k cash and can buy easy a house with cash , but problem will be refinancing and getting btl mortgage if i get it right ?

[@KevinWrightProperty]

glad you like it but you are incorrect in your assumption. Mortgage lenders insistence on no borrowed deposits is at point of purchase, not when refinancing a property you already own. At that point they are not focused on the source of the deposit. I explain this in the video, perhaps watch it again to understand it better

[@luxslist5724]

@@KevinWrightProperty Thanks Kevin , i will rewatch 👍

[@KevinWrightProperty]

@@luxslist5724 - please do and if you have further questions, pleas ask

[@kirkerskine817]

HI Kevin I've been to a few property trainings and it has mentioned several times that th can use credit cards to purchase a house. Please can you shed some light on this .. :)

[@KevinWrightProperty]

Don't believe all that you get taught at property trainings Kirk. Can I shed some light on what other trainers teach, no not really as I don't know them or their courses.You can use a credit card to buy a house .e.g if you can buy it for £20k. You cannot use a credit card if you are borrowing the deposit. Why? because mortgage lenders prohibit borrowing the deposit, they will check to see the true source of the deposit.

[@samarshi539]

@@KevinWrightProperty property trading Kirk😀😀😀. I like that .

[@KevinWrightProperty]

@@samarshi539 - trading or training?

[@manchesteryoutube2108]

Hi Kevin. Would using a loan for the deposit and legals etc for a bridging finance be possible?

[@KevinWrightProperty]

with bridging yes but with mortgages no

[@SegunA887]

Hi Kevin,Am here again. When solicitors are going through checks for AML, wont they frown at the use of borrowed deposit for the bridge?

[@healthiswealth8153]

@@SegunA887 as Kevin has said previously, as you already own the property through bridging they won't ask where the deposit has come from as you are refinancing not buying. Lenders won't let you buy with a borrowed deposit, bridgers don't care where you get the deposit.