BTL mortgage with no ERCs for new build high-rise flat
The client – a full-time landlord with a strong portfolio in South East London, contacted us looking to purchase a further rental property via his SPV Ltd Co.
The property in question is a 2-bed flat within a newly built, 24-storey residential block.
We needed to source finance from a lender who would accept:
- SPV Ltd Co’s
- High-rise flats
- New build property
- Applicants with income derived solely from rent
The client was also keen to secure a rate with no early repayment charges, as he planned to remortgage within the next year to take extra equity out of the property.
We took this case to a lender only accessible via a select panel of brokers, including Mortgages for Business.
The following terms were offered:
Property value: £356,250
Loan amount: £267,187
LTV: 75%
Rate: 3.69% term tracker
Term: 25 years interest only
Borrower: SPV Ltd Co
Lender arrangement fee: 1.5% (£3,990)
Mortgage payment: £818
Rental income: £1,950
Gross yield: 6.6% pa
Consultant: Charlie London, 01732 471604
16th August 2016
