Thanks for being so open and transparent with figures and all details to help others.
@JustinWilkins
Жыл бұрын
Thanks for watching 🙌
@bigbawsdogg
Жыл бұрын
Yeah credit as most KZitemrs deliberately leave out the reality
@JustinWilkins
Жыл бұрын
@@bigbawsdogg 🤝 here to share the good and bad!
@mpat100
Жыл бұрын
@@JustinWilkins nice timing; the top is in
@rajjai
Жыл бұрын
You seem like the most genuine and transparent property youtuber! Thank you so much for your honest and humble video
@JustinWilkins
Жыл бұрын
Appreciate that a lot ! 🙂🤝 Thanks for watching
@davidbowser2453
Жыл бұрын
Hi Justin, I’ve a number of Victorian terraced properties. If I was starting again I’d have invested in newer properties (built after 1990) because they are much less prone to damp, since they have cavity walls and a solid concrete ground floor with a proper damp proof membrane. Will be interested to see what your next investment looks like. Cheers David
@marklewis3023
Жыл бұрын
The thing with newer properties is that they're quite a bit smaller & typically further out of the town/city centre. As long as you're on top of the damp proofing and also look at insulation, then they actually work really well. One of the things I'm doing with my properties is insulated plasterboard both front & back, as the actual side walls are insulated well enough. This fairly simple solution makes a massive difference and has corrected the (condensation) damp issues in the properties where I have done it. Another option is insulated lining paper, I did that in attic bedrooms & it makes a massive difference & goes from a building task into a relatively simple decorating task. The heat saving is really impressive as well, especially with the current state of bills!
@davidbowser2453
Жыл бұрын
@@marklewis3023 Thanks for the insight. It does sound like a good idea. I’ve also preempted internal mould on cold outside walls by using a kitchen & bathroom paint but throughout the whole house. It’s more expensive than a standard emulsion but contains a mould inhibitor so the house is less likely to have mould growth.
@salsabila786
Жыл бұрын
I've got a loft PIV unit in my older properties, since doing so 2 years ago, I've not had problems with condensation in any of them
@stevenhull5025
Жыл бұрын
Hope you have some spare cash to bring your old damp prone victorian terraces up to the new EPC standards which is due soon.
@salsabila786
Жыл бұрын
@stevenhull5025 deadline changed, was 2025 and now 2028, so not soon.
@xperyskop2475
Жыл бұрын
Sunday landlords being eliminated by interest rates. Actually good move on his part as prices of houses will go lower.
@independenciafinanceirauk4152
Жыл бұрын
Just increase the rent.
@kristinesharp6286
Жыл бұрын
@@independenciafinanceirauk4152 people who don’t own the place outright have no reason to let it to others.
@WaiKoH
Жыл бұрын
@@kristinesharp6286exactly, we’ll said.
@katjaxxx7353
Жыл бұрын
Not in London.
@tonycheung5532
Жыл бұрын
haha, any suggestion for people who took his lesson and brought a house last year?
@everylittlebreeze
9 күн бұрын
My first buy to let was in 1993. There were no buy to let mortgages the market for buy to,let had t emerged, as a single parent bringing up my daughter on my own instead of getting a bigger house because I worked hard to pay the mortgage off. I bought another property and rented it out. Since then I’ve bought 5 houses/flats at various times did the, up and rented them out. Now I only have 2 apartments I’m letting.
@JustinWilkins
6 күн бұрын
👏👏👏
@everylittlebreeze
8 сағат бұрын
@@JustinWilkins thank you !
@boyasaka
Жыл бұрын
My mortgage on my last BTL property has gone up from £183 to £410 in the last few years plus 55 agents fee plus 20 a month insurance That’s almost £500 a month Plus general repairs plus gas certificate etc And your very close to the £595 a month rent So house went up for sale and is sold and currently going through smoothly
@chair56789
Жыл бұрын
This video has been a lesson. Never realised BTL mortgages were so low compared to standard mortgages. If you don't mind me asking where is your property?
@scittyboom1989
Жыл бұрын
@@chair56789BTL mortgages aren’t so low they are on an interest only payment meaning the debt never goes down the actual interest rate is higher than a normal mortgage
@billytheripper4
Жыл бұрын
How in the Jesus was it so cheap? Is it normal for buy to let's to be so cheap?
@billytheripper4
Жыл бұрын
@@scittyboom1989I see
@boyasaka
Жыл бұрын
@@chair56789 Sunderland Sold for £130k for a tiny 2 bed semi
@youtubeman5033
Жыл бұрын
I will never sell any of my houses,, and if the market price drops then I will be after some bargains,, there are lots of tenants out there wanting to rent..
@Jemerella
Жыл бұрын
What a great attitude you have. Bad tenants and surprise costs can dampen your spirit over time. Selling all my properties it’s definitely not a passive business. Good luck to you.
@JustinWilkins
Жыл бұрын
Thanks! Appreciate that a lot. Property definitely comes with a lot of ups and downs 😅 shame to hear you’re selling all your properties, but I can understand it’s the right decision for some people due to section 24 tax changes, profitability, and because of interest rates!
@johnross2924
Жыл бұрын
Houses should be affordable for working people to live in, not for greedy bastards to make a killing out of. You lot and the dinghy boys are the reason we are in this problem of rip off property prices 👹 Roll on the property price crash.
@marklewis3023
Жыл бұрын
You got an absolute bargain with the refurb on that property, I don't think you'd be able to hit those figures in the current market.
@johnross2924
Жыл бұрын
Greedy bastards!!
@joeclifford4953
Жыл бұрын
Hi, young man. I bought my first property over 40 years ago. I strongly advise you to look at small commercial property. Much more tax efficient than residential. It is easier to deal with tenants . Growth is huge. Good luck
@JustinWilkins
Жыл бұрын
Thanks Joe, interesting advice. Appreciate you taking the time to share - il explore it further!
@ChrisLee-yr7tz
Жыл бұрын
I thought commercial valuations have been taking a battering?
@joeclifford4953
Жыл бұрын
@ChrisLee-yr7tz Surly that makes it a good time to buy? It's all about the return on investment, don't you agree. Commercial loans qualify as tax deductible,increasing the profits .
@ChrisLee-yr7tz
Жыл бұрын
@joeclifford4953 Yep. I think yield and long-term capital growth are just as important. It's no use earning a high yield if the capital value is declining. They both have to be taken together. At the end of the day you have to PV all cash flows to work out the value of something. I'm not saying commercial is definitely bad, just questioning both sides of the coin. The piece I can't see is what's the driver for a reversal in the trend on commercial. The high street is dying so I can't see recovery there. I'll ask you this...what gross yield are you targeting on small commercial? What level could you fund it at?
@joeclifford4953
Жыл бұрын
@@ChrisLee-yr7tz Good points well presented. I don't own anything on the high street. Small businesses are queued up to rent light commercial units from me. Motor trade premises obtain premiums. Small warehouse units. And so on I agree with avoiding the high street. They have to go somewhere. Great interesting discussion 👍
@markuskwasi
Жыл бұрын
Hi Justin, you said the house wasn’t mortgageable but you paid stamp duty…this could actually be reclaimed if the house was uninhabitable, let me know if you want more info, good video.
@khalidkhan-qx2wn
Жыл бұрын
Remember the times in the late 80's and early 90's. It would be interesting to see how they all do with a 6 or 7% plus interest rates. It was around 13% interest in 1990. Remember not being able to find renters either. Sell now and buy later at discounts.
@JustinWilkins
Жыл бұрын
Can imagine those times were tough! One of the worst ones in multiple decades. I was brought up hearing those stories - I’m fully prepped and ready to see tougher times. Considering the insane shortage of rental houses, I don’t think there will be a shortage of renters. And if houses are bought right, and locked in on long term fixed rates, there shouldn’t be a need to sell and try to time the market
@leemarsden1846
Жыл бұрын
It’s worse now than it was then the cost is higher when you look at the price of mortgages now vs then
@nickwebb2000
Жыл бұрын
Justin, please do a video on the areas you are focussing on. thank you
@markfeely4215
Жыл бұрын
Lack of social housing & landlords buying multiple properties are helping to destroy the fabric of society & communities.
@JustinWilkins
Жыл бұрын
Interested to hear you explain how?
@daddy2244
Ай бұрын
The government isn’t providing rented accommodation so who do you think will? 😂
@sm1123
Жыл бұрын
Damp course holes do very little /the damp will come back. The issue here grounds levels in relation to the floor and lime plaster to allow the property to breathe so water evaporates and lime pointing and making sure all water goods work well.
@plllot9713
9 ай бұрын
there's a damp specialist somewhere on youtube always repeating damp proofing is effectively a scam and the solution is always curing the underlaying problem which often is some sort of lack of ventilation or water ingress through underfloor vents or incorrectly done rendering blocking the moisture inside the wall etc.
@knowitall3503
3 ай бұрын
Don't buy a house with solid 9" walls. Cavity walls were introduced in the 1920/30s for a reason.
@joebacchetti5890
Жыл бұрын
Just off the phone today again from LNPG Justin, they are great. So far this year alone since becoming a member I have saved thousands on a kitchen and today I saved over £100 on a Gas Hob which will be installed as well as the old appliance taken away.
@JustinWilkins
Жыл бұрын
Great result Joe 🙌🙌 pleased to hear that and thanks for watching!
@Richard_Wheatley
Жыл бұрын
Expensive lessons, but ones that will last a lifetime! Understanding the cause of damp is crucial to how you solve the issue and how much it will cost to do so. My advice would be to take a damp meter (~£10) round on viewings, that way you know if you need to factor in work to remedy it.
@JustinWilkins
Жыл бұрын
100%, damp meter was one of the best purchases I made, just took me too long to buy it 😂 thanks Richard!
@pasto312
Жыл бұрын
Better to use a renovating, lime based plaster and contract matt paint pal so it's breathable. Damp is mainly condensation trapped behind the gypsum based plaster. 👍
@privateprivate2421
Жыл бұрын
@@pasto312agree completely
@poshpaddy1
Жыл бұрын
Did interest rate rises play a part in your decision? At the start your 80k mortgage was costing you £154/mth, by the time your 2 yr deal was up and you had to refinance that 80k mortgage could well be costing you £440/mth. "Assuming" you wouldn't be able to increase your rents and taking into account agent and insurance costs that would leave you with a profit of £51/mth or £612/yr. As you say being a landlord isn't as easy, passive and stress fee as some make out. Did you not just think I could put my £13k initial equity in a savings account at 4.5% and get £49/mth or £585/yr and get a genuinely passive income and I'd only be losing out on £2/mth and saving myself a load of aggrevation?
@markjackson9827
Жыл бұрын
Another problem is in a couple of years your rented houses will need to reach a C rating EPC, in some case this isnt going to happen without spending thousands especially if you have an end terrace or the property has a room in the roof, I am a domestic and commercial surveyor, in two days the office has had enquires from two housing associations totalling 950 homes, they are panicking , so should you, some properties would need over 20k spending on them which I have recently visited, wall insulation, room in roof insulation, double glazed throughout to achieve a C rating, tough times for landlords.
@stevenhull5025
Жыл бұрын
I think the EPC of C will be changed to D. It would be nigh on impossible for the majority of our old housing stock to reach that goal. If it is going to be C then renters will be living in tents as few homes will be available to rent.
@youtubeman5033
Жыл бұрын
I’ve just bought a 1930s house rated F, it cost me 1200 to get it down to a C. New central etc combi, 400 m loft insulation, got the house for a snip, it’s rented out now for 800, the new rules are just occupational hazards, it helps being a plumber but it’s not rocket science is it,
@edglue6138
Жыл бұрын
I sold 11 of my btl’s. Kept 4. The relief is beautiful One love
@JustinWilkins
Жыл бұрын
Out of interest, what attributes did the 4 properties you keep have over the others? Would be interesting to know
@esp643
7 ай бұрын
why do you feel relief? :)
@edglue6138
7 ай бұрын
@@JustinWilkins I kept houses. The ones I sold were blocks of flats. 2 x 4 flats1 x 3 flats You get one bad tenant in there, it ruins it for everyone. It was like having 11 kids at Tims. Stressful
@edglue6138
7 ай бұрын
@@esp643 Stressful being a landlord. Particularly blocks of flats
@erdevon3257
Жыл бұрын
Got out the game a few years ago and took early retirement. Gets harder every year
@JustinWilkins
Жыл бұрын
100% has got harder every year for a while now, but I do think this will bring great opportunity in the near future
@vindrive7
9 ай бұрын
Thank you, for making this video. This is very helpful in understanding buy to let. I have seen many video but this has been the most honest and realistic of all videos have seen yet on you tube. Going to check your website now.
@thinkFishcatchFish
9 ай бұрын
Great video. I’m 25 years in this business and you have the right understanding. Property is long term, not easy and not passive. However, I think your wrong about selling. Occasionally it’s the right thing to do… boost cash flow, opportunity, drop a bad egg etc.
@HighPeakAutos
Жыл бұрын
Just catching up with this now. Totally understandable. Great video - glad to see things are going well for you.
@JustinWilkins
Жыл бұрын
Thanks mate! Always appreciate you watching and likewise 🤙
@johnross2924
Жыл бұрын
Roll on the property crash 😁
@zaink7037
11 ай бұрын
Nice to see you here 😀. Looking forward to your upcoming car flipping videos
@elizabethwestlake1409
Жыл бұрын
Another clear and concise video from the big dog Justin, keep up the great work and content!!
@JustinWilkins
Жыл бұрын
Thanks Lizzy & Ben 😃🏆 Big views only from now on!
@voice.of.reason
Жыл бұрын
My rule is, as it always was pre 1997, that unless you can buy a property with 100% cash, you have no business being a landlord. We are going back to the days before easy cheap finance and that's a good thing.
@markp8295
11 ай бұрын
Depends what interest rate you can get. Currently with 25% deposit get 4.5% on 2 year fixed on a £70,000 mortgage. That makes it very manageable as I also have a full time job and no other regular large monthly expenses. So rent plus income into the mortgage means I can pay off in under 4 years. So I'd say it also works if you don't have a mortgage or rent to pay yourself.
@spencer2721
Жыл бұрын
To make any capital gains in the next couple of years you will need some insane deals!
@JustinWilkins
Жыл бұрын
Tough couple of years ahead, but it’ll teach people to be better investors!
@kbc138
5 ай бұрын
Thank you sharing your experiences. Do you have a rough guide on how much you spend on each property e.g. by sqft or sqm?
@christopheradderley6902
Жыл бұрын
Real house prices are the same in Q2 2023 as they were in Q2 2003. And since the peak in 2007 to today house values have declined by £70k. The Nationwide Data shows this clearly and what ‘property investors’ do not realise is that they have essentially been carrying out ‘inflation trades’ assisted by low interest rates inflating away debt. Profits are exaggerated if the value of the money between two intervals is not taken into account.
@privateprivate2421
5 ай бұрын
You dont instal damp proof membranes in old single walls houses.
@scazz007
Жыл бұрын
I’d sell the lot while you have a small chance 😅
@JustinWilkins
Жыл бұрын
😂😂
@purpleom9649
Жыл бұрын
As a UK home owner and someone who has experience with landlords, I suspect new buy to let landlords (in the last 5 years) will suffer greatly with losses that may become unsustainable. One thing that wasn't mentioned is a massive correction in property prices, it has long been predicted that UK house prices aren't sustainable and something will have to give and I'm afraid this is on the horizon, the smart money is getting out while they still have the chance.
@nickb8006
Жыл бұрын
Those late to an economic cycle, when everyone and their dog is interested and fully 'invested' always get burnt.
@purpleom9649
Жыл бұрын
@@nickb8006 I'm not entirely sure this time is the massive correction, I'm 54 and many times in my life I've thought this can't carry on and still house prices have stabilized and then continued rising.
@SuperToughFish
Жыл бұрын
@boxingtruth2167 Since long before 2008. I'd suggest the 70s. But yes, in particular that year the gap widened significantly
@johnross2924
Жыл бұрын
Roll on the property crash 😁
@purpleom9649
Жыл бұрын
@boxingtruth2167 I totally agree with UBI, it won't be long before driverless vehicles, AI, and robots take most of the employment, all the Government need to do is workout how much back tax people like Amazon need to pay as they have displaced more workers than most and if companies like that think that an extra tax (automation tax) isn't going to be levied on them then they can think again. Having no work seems bad but I suspect most will find hobbies that will turn into professions, trying to future proof my Son's employment chances has been hard but we have chosen dentistry, something hard for automation to do?
@TheGazzad11
Жыл бұрын
Interesting video Justin, think you spent too much on refurb and agent fees. I’ve been buying properties and renting them out as well as managing other peoples property. I’ve done this for 12 years now and became financially free. Good luck on your journey
@JustinWilkins
Жыл бұрын
Would agree with you on both points actually. Refurb was a really big learning curve, but the managing agent was more of an active choice as I love to be completely hands off! There’s definitely better value agents out there though. Great work doing this over 12 years! Really showing that it’s worthwhile in the long term 👏 thanks for watching
@subhadipnath5461
Жыл бұрын
😢Q
@stormcup2920
Жыл бұрын
Yes, I would have adviced to do the reverb himself, to learn by doing and not just pay a builder, also I think the original house just looked like it needed a good clean, and some paint.. I would not reverb a property like that, if he spend £2000 into perking it up, the house would still sell for £82K which would have given him a easy £30k.... but this is just my uneducated quess..
@danbee415
3 ай бұрын
i thought getting a BTL on a second property and the costs are not worth it.
@JustinWilkins
3 ай бұрын
Depends on a lot of factors, but with most of my properties it’s been more than worth it!
@danbee415
3 ай бұрын
@JustinWilkins my issue with it is that you need a high deposit and its a lot of risk involved. compared to blue chips aristocrats that pay 5% per year and money can be pulled out instantly. This is why i do not like BTL. Maybe if you didnt need a 25% deposit, id give it a whirl. The average earner cannot afford to put 25% on a property unless they want to waste time doing so as the other means are more efficient.
@Kenone1988
Жыл бұрын
With the current 6% BTL mortgages, yield would be only 3%. Even some current accounts now paying more than that. BTL is dead for sure.
@JustinWilkins
Жыл бұрын
Far from dead
@pepeyogan1
10 ай бұрын
Amazing video Justin! Been a little busy but catching up on your content and just wow... good on you man. Very inspiring!
@JustinWilkins
10 ай бұрын
Pepe! Good to hear from you man. Thanks for watching
@faizancomsian
Ай бұрын
How to check property owners detail online?
@guitaradam2000
9 ай бұрын
I trhink the round-up at the end was very important. With the hike in interest rates and general increase in property prices across the board, there is very little yield left on the table (if any) for new investors. If you can weather the storm for now and get a property that has better capital gain potential in the future, it'll probably pay off better than a slow appreciating property with yields being so low at the moment.
@powerwashcleaning
2 ай бұрын
When you say remote lamdlord. How remote? What area is this in? How would you identify areas if capital growth?
@jackdavidsmith
Жыл бұрын
Crushed this video bro! You’re smashing it 🙌🏼
@JustinWilkins
Жыл бұрын
Thanks bro 😎 !!
@johnmore4155
Жыл бұрын
Very informative but no mention of Tax?
@JustinWilkins
Жыл бұрын
You’ve missed the point of the video entirely. Of course il pay tax lol
@johnmore4155
Жыл бұрын
@@JustinWilkins No. You've missed the point of my comment. I wasn't accusing you of not paying tax. I was simply expecting you to have mentioned it in your very informative video. I.e. you mention the £575 rent but unless you're register as a LTD company income tax is due on the full amount; gross as opposed to net. Also the tax on the capital gain is worth a mention especially as you express an interest in capital growth. And, since our lovely chancellor has reduced the tax free allowances which are diminishing over the next couple of years.
@katjaxxx7353
Жыл бұрын
My LL put up every year the rent. We live in London. Yesterday her agency told us she wants a rent increase of £230 per month. £1.900 for a month for 27sqm. Guys, don’t give in. The LL are out of order. We found 1km away something £540 less expensive. Don’t give in. This is out of order.
@JustinWilkins
Жыл бұрын
Shame to hear that. In most instances aren’t purposefully trying to make your life difficult, landlords are just reacting to the continuous interest rate changes. The government know that interest rate rises also increases rents, and that’s what they are trying to do in order to reduce inflation. If you aren’t happy I’d recommend blaming the government or economy over landlords - we’re just trying to survive and make and income like you are in most cases
@zachary3603
5 ай бұрын
I could probably find this somewhere, but how old are you buddy? I'm currently on 3 deals this year, trying to get it to 7. Thanks for all the gems in these videos.
@1111000ANGEL0001111
Жыл бұрын
Great video Justin Interesting that the you tube algorithm only show me your videos now though this information would of been more useful months ago :) well explained Just wondering though in your video you said you couldn't buy many properties as you would of liked so is it not possible to use private investors to fill the gap with purchase refurbish refinance if its not can you explain what the issue is with this as i see many property entrepreneurs say oh yes get finance from investors ? but you have said you would rather use cash in the bank so maybe you could explain if their is some risk that some people are not telling people ? So do you have any videos on how you find private investors loans and what the pitfalls are that many people don't realize can happen ? not many people cover this ? thank you :)
@uktruecrime
Жыл бұрын
BTL should be banned. BTL is a primary cause of HPI and why so many people are in pain today.
@JustinWilkins
Жыл бұрын
Interesting point of view. I don’t think it’s the primary cause. Certain parts of the uk definitely have a higher density of investment properties, but I’d imagine the large amounts of money printing and inflation over the last few decades can’t have helped either 🤷
@knowitall3503
3 ай бұрын
Council or private, you're still renting. What's the difference? BTL relieves pressure on council backlog and gives the tenant a choice. What's the problem?
@zenastronomy
3 ай бұрын
@@knowitall3503buy to let itself isn't a problem. buy to let through money printing-creation, which causes massive house price inflation and rent inflation is.
@zenastronomy
3 ай бұрын
@@JustinWilkinsbuy to let itself isn't a problem. buy to let through money printing-creation, which causes massive house price inflation and rent inflation is.
@sleekitwan
Жыл бұрын
As an ex-landlord of a single property, now ‘squared away’ with the tax man long ago, I had a rule, but I cannot say it was good or bad, just it was my rule. I only bought a property that was equally useful as a letting or bought property. This is not what buy-to-let landlords do. The classic is an area nose-to-tail with terraced housing and it has already ‘tipped’ into a rental area predominantly. This generally means, any young couple etc, will want not to buy there, and anybody with backing, eg mum & dad etc, will go up-market and buy elsewhere. Hence, rental ghettoes. Flogging a property, is all about timing and disposing of the most adverse property first. Just my opinion. The best timing I ever heard of was someone whose elderly friend had a son doing IT work for banks in London…the summer of 2007, saw them dispose of their property after it had gained £100k in value, and my goodness, they did select a really amazingly good time to sell, didn’t they? I don’t believe anyone is that lucky. They bought in a special situation and they sold in one. Their friend’s son must have had the word down there in London as to the scandal of bundled risk that was about to go t!ts-up, and they literally sold at the peak time, bar a few days I’d say - which is perfect, not merely good, absolutely perfect. So when we speak of terrible people insider trading in shares, and managing to sell just before a crunch by some miracle that we don’t believe, just realise the system is made for those people…nobody tries to catch them, nobody has a chance except one in a hundred thousand of getting a whiff of something naughty. This is way below the chance of getting nabbed for embezzlement of company funds or whatever, this is insider information running the market. So, the question now is going to be answered in retrospect. Whomever sold up at exactly the right time, knew what was coming before anyone else, but we don’t know when that is until afterward. It’s especially handy to know what the effect of government legislation will be, and crucially, the exact date it will take place…the ‘bedroom tax’ renting limit for benefit claimants, chilled all movement on tenants in some areas for years, because no big project was undertaken to root out who had an extra room, they just reviewed your case if you tried to move. As a result, far fewer people moved. Many tenants simply froze in place, with their ‘extra bedroom’ perhaps unknown and retained forever. But the government is always on the side of landlords, whatever’s said or done - because about half of the MPs become landlords eventually, if not already before they get elected. Either them, or their spouses to hide it, it’s all pretty normal stuff - and thus, they really represent an interested minority without anyone having to say much at all. Everyone works hard, that isn’t what enables someone to become a landlord. Take care all.
@FlyingFun.
Жыл бұрын
Knowing exact timing is defo crooked but tbh I saw the writing on the wall in 2019 when I found my one and only rental property suddenly go tits up, Tennant's left no notice and wrecked house owing rent, the changing tax rules and the cost of renovation made my decision for me and I sold, it was clear that gov had it on for landlords and the low interest rates could not stay forever, I was early by a year or 2 so missed out on the biggest gains but glad I'm out, the shxt is really going to hit the fan once rates filter down to more and more people.
@barmy_irooni
11 ай бұрын
Can you please make your explanation a bit more in-depth & longer next time….this one was way to short!!! 👍 lol
@CPDCT
3 ай бұрын
More like ramblings of a mad man. Buy to let's will make money but need to leverage with caution and focus on location.
@okunrin3
Жыл бұрын
People need to understand that KZitemrs are in this game to make money, not to help anyone, so follow at your own peril
@JustinWilkins
Жыл бұрын
I would say that everyone in life wants to make money for themself? It’s not a negative. It’s part of life, we all want to succeed. But separate to that, this video is just sharing pros and cons to this property. There isn’t a single plug or product pitch. If someone decides they want to work with me off the back of it and click a link in the description, that’s their choice 😃
@TylerL2023
8 ай бұрын
I live in Australia, and property here is extremely expensive. So, contrary to the US and UK, you cannot buy a detached or attached property for 50k, and something like this in Australia would be 400-500k.
@JustinWilkins
8 ай бұрын
Interesting - always depends on area. It would be £400-£500k in some parts of the UK too.
Ай бұрын
Is that Lancing/Broolands industrial estate, the weird red building looks familiar? On a practical note, u said ur profit was 23 grand over 2 years, I think u should take off about 8 grand from that profit as that is what u would get for roughly 80 thousand pounds at 5% interest during the last 2 years. A solid 15 grand...just too many people don't cost inflation or interest into their equations!
@JustinWilkins
Ай бұрын
Inflation is exactly the reason I have made more money! But do I need to deduct it from my profit, personally I don’t think so. Inflation or not that money still landed in my bank account 🙂 But overall I understand what you’re trying to say and appreciate it 🤝
Ай бұрын
@@JustinWilkins "Inflation is the reason I have made more money", u made more pounds, u did not make more money due to inflation!
@greetingsbox4229
Жыл бұрын
Nothing wrong with a quick gain it certainly doesn't deviate from the 'long game' if re-invest in better assets.
@JustinWilkins
Жыл бұрын
100% onto the next projects 😃
@vvwalker7261
7 ай бұрын
Great summary, I have been n property for a long time and wish I had documented my journey like this
@shinydarknight01
Жыл бұрын
Not a bad profit. I bought a semi 4 years ago (not to rent) for 190, selling for 265 to go up the property ladder so made about 50k on it.
@JustinWilkins
Жыл бұрын
Great work! 👏 did you do much work to it? Or was that just from buying and holding?
@boyasaka
Жыл бұрын
But how much has the house you’ve bought gone up in the same time Plus how much interest did you pay on your mortgage you had on the property People forget to add that up Many people purchase a house for let’s say £100 k They pay the mortgage on it for 20 years And then sell it for £200 k And think and tell everyone they made 100k But if they added all the mortgage payments up The house actually cost them 220 k So they actually lost 20 k
@change2023now
Жыл бұрын
@@boyasaka20k to live in a property for 20 years. Not bad if you ask me😂
@stevenhull5025
Жыл бұрын
No boasting please. Ok why not. I made £170,000 profit on a property I bought at auction in Wales. Sat on it for 6 years though.
@carlyndolphin
Жыл бұрын
I’ve sold most of my BTL and invested in global index funds and now live off the 3% rule.
@JustinWilkins
Жыл бұрын
Interesting, what made your decision to sell most of them?
@carlyndolphin
Жыл бұрын
@@JustinWilkins Index funds are more passive, more tax efficient and liquid. Historically the stock market has doubled every 7 years.
@peterlindop4491
10 ай бұрын
Very informative and knowledgeable.
@JustinWilkins
10 ай бұрын
Cheers Peter 🤝
@thesaltycabbage
9 ай бұрын
Don't damp proof a traditional property like this damp will just return due to it having nowhere to go, lime plaster the walls, remove any cement repointing for lime and add windows with ventilation slots. Resin injection ruins old houses like this.
@voiceoverguyharris
Жыл бұрын
Still watching your films Justin. Thank you. Maybe we should we talk about a project?
@JustinWilkins
Жыл бұрын
Glad to hear it, hope you’re well Guy! Would be good to catch up
@TMZ-5jr
Жыл бұрын
I don’t agree with the go for yield or growth approach, it’s total return you should seek. In vanilla BTL going for yield results in multiple properties in cheap areas that become long term a burden to manage. Going for growth (or perceived growth) results in investment following fads like property in “boom” areas or “Nottingham”.
@ambroseomoigiawi
Жыл бұрын
Thanks for sharing, what was your final margin in percentage% from this buy and flip because you did finally flip the property in the end.
@richardburke952
Жыл бұрын
I'm new to your channel and found this video insightful and honest... I wish you well on your journey which area of UK do you think there is capital growth potential?
@JustinWilkins
Жыл бұрын
Thanks Richard! Glad it was useful. There lots of great areas coming up in value - mainly within the north of the uk. Parts of Yorkshire, North West and North East. I’ve mainly invested into the north west, but my first few purchases were within slightly higher risk areas, as I bought cheaper properties with high ROI potential. Whilst I’ve been very lucky with these, and bought right, my goal is to purchase in slightly better quality parts of these areas going forward 🤝
@nickjones8867
Жыл бұрын
Will this model work with higher rates and falling house prices.
@JustinWilkins
Жыл бұрын
Still works but is much harder! I’m purchasing a couple of houses right now, and il be doing the same strategy on those 2
@jrcp106
Жыл бұрын
😂
@stevenhull5025
Жыл бұрын
Obviously not when landlords are selling in droves.
@tj9382
Жыл бұрын
I take it that the mortgage is interest only, yes?
@JustinWilkins
Жыл бұрын
Correct, yes it was IO 👍
@m77ast
Жыл бұрын
I understand refinancing. I don’t understand selling. Selling a cashflowing asset does not make sense to me.
@JustinWilkins
Жыл бұрын
I was definitely in two minds before selling - but ultimately I think the new opportunities I am going after will offer better returns in the long run!
@m77ast
Жыл бұрын
@@JustinWilkins yes I have just spent over £100,000 on the foundation of this new build. So I think that something that is bringing in some profit just needs to be replicated. A friends of mine has I don’t even know how many of those and no longer needs to work.
@robertjones8209
Жыл бұрын
Did you mention income tax and capital gains tax, sorry if I missed it. How much was your CGT bill?
@JustinWilkins
Жыл бұрын
Didn’t mention it in the video as wanted to focus on the pros and cons of the actual ownership, rather than go detailed on the profits , vs tax etc
@loopers822
8 ай бұрын
@JustinWilkins I've been following you from nearly the start (I think), always like your videos but I think it's only fair to cover tax implications, so many KZitem property people don't and the tax is a big part of it, we feel the pain every year 😅
@rakeshmehra3657
Жыл бұрын
Don't like btl ppl who think that they can just live off rent income part of reason house prices are high hope 8pc plus rates wrecks btl market
@JustinWilkins
Жыл бұрын
Shame to hear it. On the other side, would you agree that there is also a huge amount of jobs and economic benefits created from the tax paid, the construction required, and good homes created instead of left empty?
@jrcp106
Жыл бұрын
@@JustinWilkins Why would they be left empty?
@victablet3480
Жыл бұрын
That is all well and when property goes up, but the matket us dipping now and i believe will drop 30% in the nexf 2 years as more people have to refinance
@jacknakamori3280
Жыл бұрын
Very profitable? What a disaster! Two years of faff, money tied up, exposure to all the risk…. For £10k. Sack it all off, move out of that crumby area, buy Bitcoin and don’t bet your financial future on housing - it’s got 1-2 decades of sideways or decline ahead!
@JustinWilkins
Жыл бұрын
Not sure I used the words very profitable. Literally made this video to show how you can make profit, but it’s also a tough game! Il 100% stay in property over bitcoin. No chance of 1-2 decades of sideways or decline, history and data shows otherwise.
@hafeezrahman6149
Жыл бұрын
Good luck to you .keep standing on your feet .stay positive .
@JustinWilkins
Жыл бұрын
Thanks! Really appreciated 🙌
@hafeezrahman6149
Жыл бұрын
@@JustinWilkinsjust a bit of advice. May be if you invest in land if you have a budget that could give you many options in the future. You can always build your home that would be one option. As a British Pakistani. I have invested in land in my home country. Just wanted to give you a tip. All the best in life.
@JustinWilkins
Жыл бұрын
Very interesting! After going through the process of building an extension last year, it’s somewhat become a dream of mine to build a house. Whether for myself or to sell! Would be a very rewarding thing to do I can imagine
@dubsdolby9437
Жыл бұрын
Nasdaq index etf produces 17% annually for the last 10 years. Sp500 12%. Money is liquid sipp and is tax-free gains . You decide 🤔
@AjaySingh-zp8tr
5 ай бұрын
what bank offers mortgages on buy to let on homes under £100k?
@JustinWilkins
5 ай бұрын
Lots! You are best to speak with a mortgage broker to get access to them. Not many 'high street lenders' are good when it comes to buy-to-let mortgage products.
@kevinford6420
Жыл бұрын
Right now would be a good time to get out of the buy to let if you are borrowing to buy.. Possibly try later after the large drop incoming.Interest levels are going higher in the future
@tizianoxx1
Жыл бұрын
very late to this game - BTL or investing in properties is over. To put in simple terms, this is a game that work only when interest rate are very low as the expected rental income will be able to cover all the expenses and make some profit. With the current mortgage rates and tax legislation which has removed the interest paid as deductible, you will never be able to make a profit on any properties (unless you pay 50/60% of the property with your own funds).
@TheMotivationGuy_1
Жыл бұрын
Great video! I like the breakdown of everything.
@JustinWilkins
Жыл бұрын
Thanks 🙌
@anassabir1051
Жыл бұрын
i enjoy being serious. i think its great
@JustinWilkins
Жыл бұрын
Haha!
@theq-1
Жыл бұрын
I off-loaded my mortgaged ones in early 2022 when all these youtube channes were saying buy. My Tesla shares up 55% in 3 months 😂. Cheers everybody🎉🎉🎉
@andyasia
11 ай бұрын
Forgive me if I've missed something but if you have put down 25% and then refinanced why are you talking about your investors ? Is the 25% not your seed money ? Where do these investors come into the picture ?
@honestcommenter8424
Жыл бұрын
I have a property that I need a full refurbishment for, can you please advise a reasonably priced good builder for me?
@kristinesharp6286
Жыл бұрын
When it’s not a property you own outright you are playing with other people’s (the bank”s) money. It’s not a long term thing.
@JustinWilkins
Жыл бұрын
I agree it’s never 100% true ownership whilst you have a mortgage, but given inflation and devaluing of money over long spans of time, it makes sense to leverage the banks money!
@kristinesharp6286
Жыл бұрын
@@JustinWilkins it is yours with a mortgage, but it’s a lot of debt to take on. I would not borrow to buy stocks either. Those markets also cyclical. During a pull back it makes sense to rent a few years waiting for the increase following a flip.
@tlabort
8 ай бұрын
All round learning experience but you made a lot of mistakes 1 brought in the wrong area 2 buy a new build or something other than a hundred year old terrace house 3 spent far to much on trades and could of rolled your sleeves up and done some work yourself But hats of to you for trying
@JustinWilkins
8 ай бұрын
Appreciate your thoughts, a lot of lessons learnt. But not the ones you stated. I think a different approach and mindset is required to what you stated above. Firstly a full refurb for £17-18k is hardly ‘far too much’, in fact that’s actually very cheap looking back. I’ve rolled my sleeves up on projects before, and it’s a complete waste of time. I earn far more from working in my business day to day, than I do saving money on trades. Secondly, if the numbers permit, and the project is good enough, then the investor shouldn’t have to get involved. It’s the only way to grow quickly and scale, rather than doing 1 house per year. The only point I agree on is that older properties are far harder to maintain than a newer property. But new builds can be terribly built from what I’ve seen.
@adrenalineisbrown
Жыл бұрын
So after you finish the refurb, you don’t get a snagging survey done by someone else? To make sure things are done right?
@JustinWilkins
Жыл бұрын
Good question - yes I do now either review them myself or with the help of a friend in the industry. But at the time of completing this one I didn’t
@gingerbard2607
Жыл бұрын
My two-penn'orth: this business (letting) is, and always was, about marginal costs. You've done okay in the end on this one but you're always going to be at a disadvantage to a landlord who does most of the refurb work himself and who then manages the property themselves - you've had too many people taking a chunk of the action and, paradoxically, you don't contribute much to the project economically because you don't seem to have any relevant skills. Right now the hope of buying cheap and selling dear simply won't be a winning business strategy.
@JustinWilkins
Жыл бұрын
Very good and interesting points. I’d agree with what you’re saying overall, however I would also add the landlord that is doing the refurb works is at a disadvantage to me because I’m able to move quicker, purchase more properties and not get involved in each and every project. I did previously do minor works to my first buy-to-let, but found it a smarter decision to take myself out of that part - although this does of course cause risks and issues like I faced on the property in this video! There’s no right or wrong way I my opinion, both have advantages and disadvantages
@gingerbard2607
Жыл бұрын
@@JustinWilkins Hmmn. Thing is, at our level of investment it's really not about "the deal".
@jonsnow6741
Жыл бұрын
omg 2k for the bathroom . He bent you over and magnet pms . much to learn .
@JustinWilkins
Жыл бұрын
😂😂 get a full 3 piece bathroom purchased and fitted by a trade for less, then come back to me
@zanyzoo6767
Жыл бұрын
SELL THEM ALL. Did I miss it on your vid , I didnt see you work out the tax on the 23k profit.
@JustinWilkins
Жыл бұрын
Haha I will never sell them all! I did not work out the tax on the video
@colin5777
Жыл бұрын
In that case you’re not being transparent enough Justin.
@Abieee4725
5 ай бұрын
@justinwalkins could you please share your experience so far joining LNPG in terms of savings etc
@ryancollins7347
Жыл бұрын
Kindred spirits my friend; also now at the stage where I'm looking towards capital growth over income, and have also experienced a fair amount of pain when it comes to flat roofs 😂
@paulmarchant9231
Жыл бұрын
short term panic ... what are you going to invest in that would do better long term
@JustinWilkins
Жыл бұрын
More properties - not short term panic, moving money into better properties
@paulkirton8945
Жыл бұрын
Replaced the rads for £600? Kitchen refurb 1.5 grand? What year was this again? 1987?
@JustinWilkins
Жыл бұрын
Unlikely as I wasn't born then! 😂 I think you missed a part - I mention that the kitchen cost was £1900 and kitchen fitting was £1550, that totals £3450 (which actually isn't that cheap)...
@robbybroon4904
Жыл бұрын
You said in title you are selling your buy to letS - so selling multiple properties. And interest rates are presumably the issue when you refinance?
@ScandalUK
Жыл бұрын
A felt flat roof like that should be good for around 30 years and is guaranteed for 25 years by roofers I know.
@mwisdom861
9 ай бұрын
Hi Justin thanks for another Quality video!! I am quite new to this but learning so much so fast. I wanted to find out what does that £12-£13k money left in consist of in this deal ??
@syedrehman6833
Жыл бұрын
Great video. You mentioned about high capital growth. What area that would be?
@JustinWilkins
Жыл бұрын
I started my journey in slightly riskier areas where ROI and cashflow was higher, and although capital growth has been good to me. I’d like to focus more attention onto the best areas possible within the north west and Yorkshire 😃
@MrTocatony
Жыл бұрын
It was useful thanks, however I think all is not as it seems. The profit made on this sell hardly seemed significant on overall capital of the business. Surely there would have been worth holding on for more future equity? There was plenty of margin. I think there should have been discussion on the current situation with property and the economy. Did that not play a part in the decision?????
@JustinWilkins
Жыл бұрын
Interesting points, you are right in saying not as much overall profit was made, once you factor in the expenses vs the profit made. The economy didn’t really come into it because I ran the numbers at higher interest rates, and although the house wouldn’t have profited £337 per month any longer (would have been more like £240-£250), from that point of view it would have made sense to keep it. What’s happening in the economy doesn’t particularly scare me as markets have to cycle, and it’s happened multiple times over the last 40 years. Subject to being smart, and investing smart, there aren’t major issues on that frint
@ChrisLee-yr7tz
Жыл бұрын
When you originally took out the mortgage why did you only fix for 2 years?
@JustinWilkins
Жыл бұрын
Plan was to potentially refinance after 2 years and take out additional equity, rather than selling. However in hindsight it was the wrong decision and in 2021 I didn’t see the multiple rate increase coming!
@ChrisLee-yr7tz
Жыл бұрын
@JustinWilkins ah ok, to refinance. Sure, I wasn't suggesting you should've guessed what would happen. I've always gone for 5yr just to be cautious, but that's also because I haven't gone on to increase borrowings after the purchase.
@stevenhull5025
Жыл бұрын
because over 2 years the rate was the lowest. Investors are not that smart if they did not check back at past charts indicating interest rate averages. They would have seen 7% is the average not 2% which is not the norm.
@michaeledwards8079
Жыл бұрын
what about the capital gains tax, there is no mention of this and how much you paid
@JustinWilkins
Жыл бұрын
I will be paying capital gains tax when required. The purpose of the video was to share the pros and cons, not my taxes :)
@honestcommenter8424
Жыл бұрын
Who did you use for the bathroom work?
@robbybroon4904
Жыл бұрын
Shouldn’t be any stamp duty on £50k purchase?
@swamibrahmavadin5234
Жыл бұрын
Justin do you do mentoring? I would love to buy my first BTL just like your first one so inspiring.
@JustinWilkins
Жыл бұрын
Yes 🙂 please email at program@ property-x.co.uk and il send more info
@jameshaydon4473
Жыл бұрын
I think you have made a mistake here. Good property, all work done, yes you spent more than maybe you should but you had a sound property. I think we all over spend in the end but this property was a sound investment.
@JustinWilkins
Жыл бұрын
Thought about this one a lot James, and I see both sides of it. On one side I think you’re right, on the other side I know the projects I’m trying to purchase. Hard one, as I do think that will be a great long term rental now - after I’ve done everything 😂
@marklewis3023
Жыл бұрын
@@JustinWilkins Single BTLs isn't a great strategy unless you have allot of them, the cash flow is bare minimum & you're relying on a single tenant who could lose their job tomorrow, which makes it risky imo. My preference is to buy larger HMOs, or concentrate on much bigger buildings that can be converted in to multi let blocks. It's more work but the reward will also be that much higher & you spread your risk.
@propfunders
Жыл бұрын
@@marklewis3023always thought the same as well. The only issue for most though is to buy a HMO you normally have to have experience with BTLs to get a HMO mortgage
@marklewis3023
Жыл бұрын
@myforexreviews my first BTL was a HMO & yes you have to get a HMO mortgage, but that's not a massive issue. Article 4 planning & licensing is the bigger issue, you need to study the rules & regs to make sure you're compliant & then either manage it yourself, or find a decent agent. Once you've done one & understand the requirements, then it's easy to duplicate.
@stevep9221
Жыл бұрын
Wow... You got out just in time. You would have started to hemerage cash with how much interest rates have gone up and house prices gone down. Timing is everything and you timed it just right as within 12 months you would have been destitute.
@evora9081
5 ай бұрын
The property market is in turmoil because of investors like you. Property market is seen like get rich quick schemes without breaking a sweat. This market should be left to banks and the government. Professionally done , no knee jerk decisions when the interest rates go up and no sub standard properties.
@JustinWilkins
5 ай бұрын
Where did you read and repeat this from 😴
@simapark
Жыл бұрын
Remember you cant offset your interest against your rent income these days but just get a 20% tax credit on your tax bill at the end . Two effects ,it pushes more people into the 40% tax bracket and if you are already a 40% taxpayer your tax break is halved from 40 to 20%. Landlords are quitting in droves now that we have historically normal interest rates again. Buy to let a ' passive investment' ? You are right its not and if you get a bad tenant who doesnt pay then stops communicating it could take you a year in the courts to get them out then they will leave your house wrecked . My advice is first put money into cash isas at 5% tax free return ( 2x20k a year per couple ) If you have more money buy short term Gov Bonds at 5% . Also have 10% minimum of your wealth in Gold Britannia coins ( VAT free when you buy and CGT free when you sell ) Once you get to about 55, spend it all on wine women and song otherwise it will all go in nursing home fees and inheritance tax
@JustinWilkins
Жыл бұрын
you can offset your interest again your income if you own properties within a limited company - which i do :)
@simapark
Жыл бұрын
@JustinWilkins Most LLs only have one or two legacy properties and are basic rate taxpayers so it makes no sense to transfer them into a Ltd but I reckon if anyone is starting out and plans to build up a portfolio it's the way to go. One problem with that though is the costs of getting your money out of the company plus one day the Gov could just change the taxes you pay eg corporation tax and dividend tax .
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