Property Investment
Residential Property Investment
- borrowing facilities of up to 85% of purchase price/valuation
- up to 100% can be arranged with additional security
- interest margins of down to 1.00% can be arranged
- interest only period of up to 25 years
- arrangement fees typically 1.00%
- panel valuation firms and solicitors speed up processing
- simple application process
- gross rental income to cover interest costs by minimum of 125%
Commercial Property Investment
- borrowing facilities of up to 85% of purchase price/valuation
- up to 100% can be arranged with additional security
- interest margins of down to 1.25% can be arranged
- interest only periods up to 25 years subject to LTV criteria
- loan terms of up to 25 years
- arrangement fees typically 1.00%
- panel valuation firms and solicitors speed up processing
- simple application process
- gross rental income to cover interest costs by minimum of 125%
Non-Status & Self Certify, Commercial Mortgages
Property Re-Finance
Problems can occur for any business which can result in CCJs, credit defaults and finance arrears. The causes are many and varied but can be as simple as lumpy cash flow cycles, large contracts and slow payment receipts from customers.
We have a wide range of funding solutions that can help but underlying business viability and management integrity are cornerstones in developing a successful way forward. The simplest solution to move forward is a non status commercial mortgage refinance package.
Property Purchase
Clients requiring to purchase property sometimes are unable to supply evidence of repayment capacity but have the required deposit or surplus supporting security for the transaction to progress.
In such cases we are able to provide a funding solution geared to property value rather than repayment ability.
Qualify Criteria
- Loans from £100,000 to £750,000
- Loan to value up to 80%
- Higher loan to values with additional security
- Terms from 5 – 30 years
- Interest only period subject to LTV and debt service assessment
- Modest up front application fees
- Option for three years on interest only to ease cash flow
- Capital and interest (repayment) mortgages
- Only 1% early repayment charge after year 3
- Decisions in Principle in 2 hours
- Easy approval process
- No business plans or cash flow projections
- No tied products
- Specialist panel solicitors
Property Development
This is a key aspect of our business as we have significant experience of dealing with property developers and funding institutions alike. We have successfully arranged over £20m of finance in the past 12 months from a variety of funding sources by using our expertise in linking the developer with the best source of finance given the individual circumstances.
We are able to assess project viability from site visits and discussions with the developer and/or contractor. We then match the funding to the site and assist with project monitoring, liaison with professionals, etc as required.
Funding parameters fall into two camps depending on the type of property being developed, namely residential and commercial development.
Residential Development
- Land purchase up to 75% with planning consent
- Development costs up to 75% of all expenditure
- Up to 100% of development costs if land already owned
- Up to 100% of all costs with additional security
- Up to 100% of all costs if within 60% of end sales
- Competitive interest rates and arrangement fees
- Experienced developers preferred but not essential
- Land banking permissible with planning consent
- Planning gains fundable in strong cases
- Re-finance for semi-completed developments
Commercial Development
- Land purchase up to 75% with planning consent
- Development costs up to 75% of all expenditure
- Up to 100% of development costs if land already owned
- Up to 100% of all costs with additional security
- Pre-lets are normally required
- Competitive interest rates and arrangement fees
- Experienced developers preferred but not essential
- Land banking permissible with planning consent
- Planning gains fundable in strong cases
Bridging Finance
Bridging finance is used to purchase property but is short term by nature of the fact that there is usually a mechanism or offer of alternative finance to repay the bridging loan within a defined period of normally no more that 12 months.
Typical cases are where a high street funding institution has agreed a package of facilities but completion of the deal is required before they are ready to draw down their loans. This is known as a closed bridge as there is a definite take out route at point on entry into the bridge.
Other cases are where there is no agreed exit route for the bridging finance but there is sound business case for the transaction to proceed. This is known as an open bridge and is inherently higher risk and therefore more expensive in terms of pricing.
We can normally arrange the following:-
- up to 80% of purchase price or valuation for a closed bridge
- up to 70% of purchase price or valuation for an open bridge
- interest rates are generally circa 1.50% – 2.00% per month
- arrangement fees are usually circa 1.00% or more
- maximum terms are generally no more than 12 months
- minimum terms are generally 1 month
- deals can be arranged very quickly, normally within 7 days
- panel valuation firms and solicitors practices speed up the transaction
- simple application process
We are here to help so give us a call, send a fax or e-mail or submit an online enquiry.
