The BRR Strategy in UK Property (Buy Refurbish Refinance)

Рет қаралды 10,663

Күн бұрын

Can you really get a 'FREE' house?
Well of course you need money to invest in property, don't let anyone else tell you otherwise. But that money doesn't need to be yours. You could borrow money from friends & family, private investors and lenders such as banks.
Then when you utilise the Buy Refurb Refinance (BRR) strategy, this will allow you to increase the value of your property through the refurbishment and pull the money you have borrowed out by remortgaging 75% of the new value. This enables you to repay your initial loan back, if done correctly, leaving you with a property that YOU didn't pay for. Plus you now have a cash flowing asset because it provides rental income every month and the property value increases overtime!
Hope this video helps understand the concept of a "free" house or what's also known as an "all money out deal".
Have a wonderful Sunday!
James x
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❓WHO AM I:
I'm James, or @jamesproperty_ if you're following my Instagram 😁 and I'm a property investor from the UK 🇬🇧. I make content about how to make money from investing in property. This is all from my experience of how I started from having a student loan to now being a full-time property investor. I love what I do, and I enjoy sharing my journey. If you have any questions, please write them in the comments below and if you wish, please support the channel by liking the videos and subscribing.
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What is BRRR? [EXPLAINED] | UK Property
Timestamps ⏰
00:00 - Introduction
00:57 - Buying Costs
03:26 - Refurb Costs
04:16 - Refinancing
10:37 - Rental Income
13:42 - Expenses
18:08 - Summary

Пікірлер: 37

@Carl-tv2ew 12 күн бұрын

Brilliant video James, more in-depth explanations like this please, very educational thanks

@jamesproperty_ 12 күн бұрын

Thanks, Carl 👍

@PowPowPanda 3 ай бұрын

I would love to find out more about the differences in buying a property as an individual /limited company . You’ve mentioned difference in tax etc. But there is soooo much more that I would like to hear about 🎉

@jamesproperty_ 3 ай бұрын

Awesome - keep watching 🕺

@OliverLordMusic 3 ай бұрын

Very clearly explained :-) Thanks a lot

@ArmandoFeroci 3 ай бұрын

Fantastic James, keep going!!

@jamesproperty_ 3 ай бұрын

Thank you 🙏

@iaureliusi6799 3 ай бұрын

Fair play that was a nice breakdown, definitely a good idea to buy next door aswell 👍

@jamesproperty_ 3 ай бұрын

Thank you 🙏

@MarcineKKK 3 ай бұрын

Man like James what a dream 🥵🥰🥰🥰😇 thanks for lovely explanation. ❤

@jamesproperty_ 3 ай бұрын

Thanks 🙏 🎉

@thechrismaster1453 3 ай бұрын

Good video. Only thing to note is when changing use class to a HMO then refurbs will include all fire safety aspects, like fire doors, smoke alarms in every room etc. with 2 tenants I’d imagine that wasn’t the case

@jamesproperty_ 3 ай бұрын

That’s true, great point. I always install fire regs in my properties such as doors etc. Especially this one as I knew I would be applying for planning permission.

@georgelitsberger726 3 ай бұрын

What a champion 🎉🎉🎉🎉

@jamesproperty_ 3 ай бұрын

Thank you 🙏

@lewRL 3 ай бұрын

Great video and explanation. Hate to be that guy, but just so you know the refinance was £2500 not £2000. So all numbers are £500 more but it’s minor, thought I’d raise some you were aware. Great content and information 👍🏼

@jamesproperty_ 3 ай бұрын

Hi Lew, correct and just to confirm after running through the mortgage terms, the valuation fee on this refinance was actually free! Therefore refinance costs are still £2000 for this calculation. I would also add that it’s quite common to find valuations free from some lenders when refinancing!

@nabazhamad5988 3 ай бұрын

❤❤

@yasirmanzoor5180 3 ай бұрын

❤

@jackross8655 3 ай бұрын

So using the prices in the video as an example, can you explain how a bridging loan would work please? So let’s say I take out an £80k bridging loan (£50k purchase + £30k refurb), would I then use the 75% LTV to pay off what was left of the bridging loan?

@mirzataimurii 3 ай бұрын

Mate make a realistic one that applies for the average

@mirzataimurii 3 ай бұрын

50k is way too cheap

@user-mz6dp4jv4k 3 ай бұрын

How to get on the waiting list for the next JPU? 😬

@kbc138 3 ай бұрын

James, aren't some Final Offers accepted by email, don't have to send do by post or in person?

@jamesproperty_ 3 ай бұрын

Great point - you would usually be allowed to do this. However, the agent made it very clear that they would need in-person letters to be dropped off before 12.

@agasservices3757 3 ай бұрын

Whats your plan on repaying the £101,250 mortgage off, because your only paying the interest off at the moment ?

@djwattsydarlo 3 ай бұрын

So you borrowed 101k and your monthly repayments are only 264? How is this possible what interest rate did you get?

@jamesproperty_ 3 ай бұрын

Correct - The interest rate is 3.09% on an interest only mortgage. Remember this property was secured in 2021 when the Bank of England base rate was almost 0% 😄

@pavelhristov562 3 ай бұрын

Are you deducted only the interest rate or you could deducted the whole mortgage through the limited company, regards

@marissakeynes2532 2 ай бұрын

Only the interest.

@thechrismaster1453 3 ай бұрын

Does the management deal with the bills as well?

@thechrismaster1453 3 ай бұрын

As in do they pay them for you and then transfer you what’s left over?

@jamesproperty_ 3 ай бұрын

No, you can choose this option but for me it’s easier and cheaper to source my own energy company and to pay them directly. Apart from this, the management company does everything else