Not a MC video maker, but AFAIK this is typically done using a second account (often referred to as a 'camera account') logged in in spectator mode and positioned to have the appropriate viewpoint.

The relevant part of the 'footage' recorded from the camera account is then simply fast forwarded/fast played in the video editing software during the video assembly/editing process. [​This is also why time lapse footage usually has music or a voice over as the audio track is also played a an increased speed making it either humorous or incomprehensible.]