In this video I teach you How to Refurbish with ZERO Cash out of pocked. Doing a refurb (property refurbishment/rennovation) with zero cash out of pocket is great because it means you don't have to separate money for the property deposit and for the refurbishment. It also means that you can get into property faster and wont have to save for as long.
Basics of this strategy - 00:51 - 02:53
This strategy involves using a 0% interest credit card. This is effectively an interest free loan and is a great way to complete the refurbishment. Just be sure to pay the minimum payment and stick to the guidelines because interest on credit cards is pretty high, up to 30-50%. This interest free loan could be for up to 3 years with a 0% interest credit card.
Why is this a great way to complete a refurb? - 02:53 - 03:42
You can use a credit card to pay for all of your material and sometimes labour too, this means you can use your entire capital for the deposit and not have to split it between deposit and refurbishment.
Decision when re-paying the credit card - 03:42 - 06:52
As you're using a 0% interest credit card there are multiple ways to repay this amount such as splitting the amount into equal monthly chunks or repaying the entire amount upon sale/refinance.
Why is this better than other alternatives? - 06:52 - 08:57
Because these credit cards are interest free or 0% interest, this is much better than a bank loan at 3-5% interest or development finance which is up to 7% interest or higher. However, the drawback to financing a refurb on credit cards is that you are capped to the credit card limit, which is probably going to be lower than a bank loan limit.
What are the best interest free credit cards? - 08:57 - 10:12
Currently the MBNA card, Barclaycard platinum card and Sainsburys credit card are the best 0% interest credit cards offering up to 28 months interest free credit
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The information in these videos shall not be construed as tax, legal, insurance, construction, engineering, health and safety, electrical or financial advice. IF stocks or companies are mentioned, Thomas MAY have an ownership interest in them -- DO NOT make buying or selling decisions based on Thomas' videos. If you need such advice, please contact a qualified accountant, solicitor, insurance agent, contractor/electrician/engineer/etc. or financial advisor.
This is not an advertisement of property for sale and shall not be construed as anything other than an opinion for entertainment purposes only.
#PropertyRefurbishment #0%Interest #FreeRefurbishment
Basics of this strategy - 00:51 - 02:53
This strategy involves using a 0% interest credit card. This is effectively an interest free loan and is a great way to complete the refurbishment. Just be sure to pay the minimum payment and stick to the guidelines because interest on credit cards is pretty high, up to 30-50%. This interest free loan could be for up to 3 years with a 0% interest credit card.
Why is this a great way to complete a refurb? - 02:53 - 03:42
You can use a credit card to pay for all of your material and sometimes labour too, this means you can use your entire capital for the deposit and not have to split it between deposit and refurbishment.
Decision when re-paying the credit card - 03:42 - 06:52
As you're using a 0% interest credit card there are multiple ways to repay this amount such as splitting the amount into equal monthly chunks or repaying the entire amount upon sale/refinance.
Why is this better than other alternatives? - 06:52 - 08:57
Because these credit cards are interest free or 0% interest, this is much better than a bank loan at 3-5% interest or development finance which is up to 7% interest or higher. However, the drawback to financing a refurb on credit cards is that you are capped to the credit card limit, which is probably going to be lower than a bank loan limit.
What are the best interest free credit cards? - 08:57 - 10:12
Currently the MBNA card, Barclaycard platinum card and Sainsburys credit card are the best 0% interest credit cards offering up to 28 months interest free credit
Social media
Instagram - ThomasJamesYT - https://instagram.com/thomasjamesyt
TikTok - ThomasJamesYT - https://tiktok.com/ @thomasjamesyt
Subscribe for more property related content - https://youtube.com/channel/UCRTndpz_fpcVcoVe0QF1IgA
The information in these videos shall not be construed as tax, legal, insurance, construction, engineering, health and safety, electrical or financial advice. IF stocks or companies are mentioned, Thomas MAY have an ownership interest in them -- DO NOT make buying or selling decisions based on Thomas' videos. If you need such advice, please contact a qualified accountant, solicitor, insurance agent, contractor/electrician/engineer/etc. or financial advisor.
This is not an advertisement of property for sale and shall not be construed as anything other than an opinion for entertainment purposes only.
#PropertyRefurbishment #0%Interest #FreeRefurbishment
Always wondered if it’s “Heyyoo” or “Hey all”?
But how much are you paying on refurb? If it’s 10-15K for example and I get a 1.2K 0% credit card, where does the other money come from? Or is the credit card just to supplement money you’ve saved for refurb? I’m probably missing something haha 😅
Loving me some 0% credit cards. Great way to invest at a very low cost.
Lockdown drinking game: Do a shot every time he says obviously!
You mentioned about refinancing to pull your money out after you've done your refurb.
If you bought a property e.g. today and had a fixed rate for 2 years.
Then took 2 months to refurb it. Are you allowed to refinance straightaway (or 6 months later) or do you have to purchase the mortgage product on a Variable Rate to allow you to refinance?
I hope my question makes sense.
Thanks
Kul
Great video Thomas. Wish I thought of this when buying my first property.
Another great option is to sign up to Clear Score (for free) they're always sending me notifications of 0% credit cards. They sometimes also tell you which one's I'd be pre-approved on too.
Yes it is a good way. I need to get one now actually. Any ideas which cards offer a decent credit limit? Obviously it depends on income and other circumstances, but any pointers would be great. I appreciate that the answer is NOT actual financial advice. Just a pointer on what credit card provider to try. Thanks as ever!
Like the breakdown in the description box… found my answer straight away with out scrolling across the whole clip. Good content control for the users.
What do you think about using 0% credit cards? is this a good way to do a refurbishment?