An existing client, an HR director, approached us for help in financing the purchase of his second buy to let property, a 3-bed terraced house in a sought after area of his home town of Manchester.
The client had two main requests:
- To complete before January 1st 2017. He needed to beat the PRA deadline for increased rent to interest calculations for personal borrowers if he was to achieve the loan amount required.
- To secure a long term fixed rate. He wanted protect from interest rate rises in the near future.
We approached a specialist lender which we knew would be able to complete the deal quickly and offer a 10 year fixed rate (there are very few of these available on the market).
The lender quickly agreed in principle to lend and so we submitted the application which completed within one week of the formal offer being received. Here are the details of the deal:
Property value: £245,000
Loan amount: £183,750
Rate: 3.99% 10 year fixed rate
Term: 25 years interest only
RTI: 125% @ 3.99%
Borrower: Individual application
Lender arrangement fee: 1.5% (£2,756)
Mortgage payment: £612 pcm
Rental income: £900 pcm
Gross Yield: 5.8% pa
Consultant: Gavin Elley, 01625 416398
This is just one example of how we have helped secure finance for a client. If you have a similar scenario or something you'd like us to look at please get in contact with us on 0345 345 6788 or contact me directly at email@example.com.
ANY PROPERTY USED AS SECURITY, WHICH MAY INCLUDE YOUR HOME, MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON YOUR MORTGAGE.