REPAYMENT MORTGAGE or INTEREST ONLY MORTGAGE in 2023? | Buy to let investment

[@ravsingh1576]

Some of the best information about property on the Internet. No one breaks down information or explains it in layman terms like this. Great stuff 👍🏽

[@JamieYork]

Glad it was helpful!

[@krupalsinh12]

Agreed 100 percent

[@Snow-ql9sc]

Agreed. top work Jamie

[@cliveallen7778]

without interest only mortgages and leverage I too would not have been able to build my portfolio of £1.7million, yes in my early days I too was at 85% LTV, but buying at the right price is the major reason I leveraged at this point, 8 years on I'm now at around 60%LTV, I plan on lowering this to approximately 50%LTV and below as my sweet spot within next 5 years

[@JamieYork]

Love it!

[@tomce217]

This is cool man. How long it took for u to build this portfolio? I have similar size my own portfolio, I started in 2019 and current LTVs averaging about 50-60%. Waiting for lower rates and will start remortgaging (all properties been renovated, but only few revalued)

[@rikardsaje]

Good work!👍

[@cliveallen7778]

@@tomce217 Thank you, it has taken me around 8 years, also you are doing great work.

[@cliveallen7778]

@@rikardsaje Thank you

[@pablodoradoo]

Jamie I'd love a deep dive video on the team members as in who do you need and also what's important in a property manager for investors with something like 4 or more properties who want passivity.

[@JamieYork]

Noted!!

[@pagenie4734]

How would you pay the debt at the end of your mortgage then assuming you don't have the lump sum? Sell the house or remortgage or something else?

[@mrjelfs3705]

You have to pay off the full debt amount up front.

[@debtntaxz5538]

Great explanations on this channel, so glad I found it yesterday. Keep up the good work 👍

[@JamieYork]

Glad it helps you! Welcome aboard! Thanks for watching!

[@KS-ex1ey]

Just discovered this channel and absolutely love it! The information is great and presented in an easy to understand format, thanks guys keep up the great work!

[@JamieYork]

Welcome to the channel mate! Glad the vids are helping you!

[@ukclarkkent]

Loving seeing the board screen more this month Jamie but where's the sweary Jamie these days? I needs him back in my life!

[@JamieYork]

F*ck you!

[@flightsimcentre9244]

@@JamieYork how about a video on mould and landlords rights when it's the tenant at fault?

[@kristelklein]

I really enjoy your channel! 🙏🏼😊Thank you! I’m a newbie looking into getting in the property world and you’re content is really useful and detailed! The best I’ve seen so far!

[@JamieYork]

Awesome! Thank you!

[@pixel-fudger]

Top stuff as always Jamie. Could you do a vid about how to structure a deal with an outside investor? For example if someone was willing to lend me 100k for a brr/flip deal, how would this work in practice? Based on a standard 60-80k purchase with a revalue of 90-120k for example? Cheers for all your really helpful content.

[@JamieYork]

Great suggestion!

[@paulhignett378]

Inflation surely only wipes off debt if your salary or rent income is going up inline with inflation, given wages have stagnated for over a decade, more people are paying more tax (due to inflation) and rental income expense offsetting has become more strict it’s not as simple as this.

[@JamieYork]

Inflation is your friend with property… if you have a mortgage of pure any erodes the value of the debt!

[@ayliniemi]

@@JamieYork Yeah but if you get your money from wages hes saying the wages are not going up. If all your increase is coming from property then you should be doing well as the price continues up. Buying and selling land over time can make you wealthy. Making a wage over time, well..... looks like it is making people poorer

[@grizzlybear2702]

The only problem is when the tenants stop paying and then you have expensive legal fees to pay with no rental income. To make things worse during the eviction process the tenants are guaranteed to vandalise the property as much as they can to the best of their ability.

[@Andre-rt5hg]

Hi Jamie, great video. Quick question, is it not illegal now for banks to front-end the interest payments on a repayment mortgage? I'm not an expert so please correct me if I'm wrong!

[@giusepperuggeri6489]

This is very much Interesting even if it will take me a while to grasp properly every aspect of it being new to this matter. Would this also apply to a property bought to live in for, probably, the whole duration of the mortgage?

[@JamieYork]

I wouldn't really suggest you do it for the property you own personally to live in

[@ImNickHuggins]

Such an insightful video!

[@JamieYork]

Glad you think so!

[@spammebabe]

That's awesome, but are we missing an elephant in the room? What about variable interest rate that CAN multiple your debt obligations and totally wipe out the gains. Aren't those strategies being build on the paradigm of "free money" from the last decades? How is this method hold up in high interests environment?

[@lewis93156]

Good video jamie. Could you do a video on your other investments outside of property possibly? To help with deposit building etc

[@JamieYork]

maybeeeeeee

[@lewis93156]

@@JamieYork go'arn ;)

[@abrahr2420]

Great explanation mate! Many thanks!

[@JamieYork]

Glad it helped!

[@greigjduncan]

Aberdeen. Went down down DOWN over 10 years. Bargains to be had now

[@Nismo1]

So this means that now we are in a recession, the properties that are bought inside this recession will reap the most rewards, inflation etc

[@JamieYork]

:)

[@ralphthebulldog5163]

Our mortgage has gone up £500 a month thanks to Liz. £2375 a month

[@JamieYork]

Crikey!

[@antsmith2447]

Thanks Jamie really helpful vid

[@JamieYork]

Glad it was helpful!

[@timknowles9475]

Once again Jamie, excellent content thank you. I have a quick question I wondered if you could answer for me. I have around 150k equity in my house. Can I use a small part of this to put a deposit on a BTL…..then get the rest as an Interest Only mortgage? Thanks for your time

[@hazzab6802]

Another great video- thank you! Just wondering if there was more information about paying off 10% annually on an interest-only mortgage without penalty? I cannot find much online about this, Regards

[@JamieYork]

Ill look into it

[@TheJYianni]

Thank you for the video. I have one question. When you said you will refinance the property after 5 years pull out the money and put it on a new 25 year model, can you continuously do that even as you get older? Say when you’re 55-65 years old. Will the banks allow you to keep refinancing for another 25 years or is there a cut off point where you will have to pay off the property? Thanks

[@JamieYork]

If it’s in a limited company then you’re all good

[@TheJYianni]

@@JamieYork thank you any chance you could do a video covering this in a bit of detail? Thanks for all your help

[@nipnip2371]

Great video Jamie

[@JamieYork]

Glad you enjoyed it

[@Wonderful_World007]

❤❤❤ thanks from Derby, 🇬🇧

[@JamieYork]

Thanks for watching!

[@Icebergsalad]

10% is only applicable on repayment mortgages. If you have an interest only mortgage you can make as much and as many overpayments as you wish

[@JamieYork]

In some cases you can yeah!

[@haroonkhan5933]

Is it better to get an interest only mortgage to get it deducted from your ltd comp tax bill. Save up and repay the whole loan in a lump sum?

[@fmk7941]

I’d like to buy my first home for me and my young family. Would IO be a good option to consider?

[@JamieYork]

I wouldn't for your first property!

[@anjummughal8536]

Is this video regarding my own residential proerty or a buy to let investment please?

[@shanksy9219]

Hi Jamie, great video and sorry if I missed it.. If you are on a repayment mortgage and it's say 1k and the rent from the tenant is 1k - would you pay tax on this at all if its in a LTD Company or would you be able to mark the entire mortgage payment down as a business cost?

[@tomce217]

Jamie, what happened to your gym routine? You need to get back into shape man :) yes I have to agree on IO vs repayments.. from my own experience- repayments killed my cashflow, but fortunately- I been lucky- TMO allowed to switch to IO lately:) and cashflow doubled- now I don’t need to worry

[@JamieYork]

Fucked it last year. Check out my Instagram. Just posted about it. Back in the gym consistent 4-6 times a week since we started. Belly’s gotta go 💪 Nice on the IO switch!

[@dabstheleo1967]

Hi Jamie, i have subscribed and love your videos. My interest only mortgage ended 2020 and i have £94000 to pay back! Long story. Should i remortgage to repayment or interest only for the next 19 years? Dabs from Derby UK.

[@JamieYork]

There's multiple aspects to consider, just make its what works best for you :)

[@johnrandle8365]

Gold is unlikely to make a sure investment no real secondary market shops auctions then you will pay fees it can bring you in time a return I have watched it fluctuate gone down recently not really worth it to invest in nice to hold some just to look at unless fiat currency goes awol 5hen things could change.

[@JamieYork]

Gold is a trick one!

[@DRDEEBB]

Very useful indeed

[@JamieYork]

🙌👍

[@benjaminkelly2277]

See if you pay off up to 10% of the amount borrowed each year, does your monthly payments then come down? Thanks

[@JamieYork]

In some cases it can

[@babakzadeh1741]

Top man

[@JamieYork]

Thanks!

[@mjn213]

So how can u actually make monthly profit from a btl? If your only paying interest, the remaining money would b needed to b saved to pay it off at the end, so what exactly am I missing?

[@JamieYork]

There's other factors to consider too

[@mjn213]

@@JamieYork I want to get a couple of btls, what are these other factors? I assume u make profit by just selling up after a few years?

[@adrian3427]

Your videos are mind boggling. I have an shared ownership which I want to do something with because I dont need to live here. I have permission to rent it out. Any advice

[@JamieYork]

Rent it baby!!!

[@adrian3427]

Whats the best strategy

[@f3penang287]

After 5 yrs on a Repayment mortgage why on earth would i remortgage for another 25 years? It’d be 20yrs via a rate switch.

[@supra1000]

Im a buy to let investor who had exactly the same strategy all these years. 2 of my interest only btl expire end of 2025 and 2026, im crapping myself a bit. Loans are around 205k each house. Can you do a video to guide us? Im thinking of paying 1k a month on one of them or 2 to bring down the interest. What do you suggest?

[@JamieYork]

What’s the value of each house now and how old are you? Happy to give some guidance 😊

[@supra1000]

@JamieYork I have 4 in total, 2 are expiring end of 2025 and in 2026 the other 2 are on a 5 year fixed so I think they ll be OK until they expire sometime in the end of 2027. I am 45 and the value is about 350k each I assume more or less. Thanks for replying!

[@supra1000]

@JamieYork I will really appreciate your advice Jamie, I'm really concerned as upto now they have been working out for me really well trying to become financially free but with all the interest rates going up I have lost some sleep. I'm just really lost and don't know what will happen with the rates in the future. Pretty scary as they all BTL

[@adrianpieczynski9020]

Even if they go up your rent income should cover the raises no? ​@supra1000

[@taggthis]

Hi, I have 60k to pay off on my mortgage for a 1 bed flat but I am planning to buy a house with my partner going halves. Shall I just try to pay off my one first mortgage so it will truly be an asset?

[@mdgolamkibria6076]

If todays 100k vales on 40 years 14k And if I go interest only mortgage, so in 20 years I will still have 100k debt on me ,? If I put 25k deposit and in 20 years the house vales 150k , and I sell it from 150 I give my 100 k back and 50k in my pocket I paid 25k so (50-25) 25k is my profit in 20 years later I only make 25k ,, where is making it any sense I don’t really get anything ?? How inflation is helping me ?

[@tomburgin5267]

You get your deposit back to

[@harryturnbull1884]

Dear Zeus the unanswered queztion yet again. Its so bloomin obvious im not even going to state it. Why havent you answered the unanswered queztion?

[@JamieYork]

👍

[@harryturnbull1884]

@@JamieYork Ok so you don't appear to get it - what happens if you dont remortgage and get to the end of the term of an interest only loan.

[@adamcooke8029]

Only people investing in property should be doing it with cash. Your wasting time investing in btl right now. Property is not for wealth creation it’s for wealth protection.

[@adamcooke8029]

Anyone who doesn’t believe me. Figure out how much all your interest payments are to the bank over the period, add it to the cost of the remortgaging every 2 or 5 years, total it, add that amount to the future value of the property. That’s how much richer you actually are than muppets doing btl mortgages 🤫

[@martynshaw2551]

@@adamcooke8029you don’t understand mate, that’s fine! It just means there’s more properties for the people like us that do understand the process! Good luck

[@adamcooke8029]

​@@martynshaw2551 think you dont understand, you read rich dad poor dad and your an expert like the rest of the youtube. Look at what the wealthy do not what they say. They buy property with cash and get insurance. Why? Because they are top of the cap table if something goes wrong, the bank is ahead of you and gets paid first. Inflation works just as well on a property you own out right as without debt. You don't build any wealth any quicker by splitting your equity across 3 properties, you just push your self down the cap table. Property is a defence asset not a wealth creator.

[@tomburgin5267]

Property doubles every 10 to 15 years and you get rental income every month it’s a no brainier

[@johnrandle8365]

Why put a noose around your neck you need a get out strategy leaving these shores is a way I would go if was young or have some money set aside depending on your situation , Work and so on France is an obvious place first if you want a place to live instead of what it can gain investment wise then you have less strain today landlords are suffering because of the tories have shafted them higher mortgages for them and Regs have made it hard for them and Renters alike .

[@JamieYork]

It's crazy

[@user-ii8fq5tt8v]

This a dude

[@JamieYork]

Aha cheers man!