The Clients: A retired, married couple who owned a single HMO property. They had owned the property for five years, as an investment for their retirement.
The Property: The property is a large five bedroom HMO. The property is situated in a large university town in the Midlands, close to both the university and the train station.
The Finance: The client came to us to support him with his first remortgage of the property. He had moved onto his previous Standard Variable Rate and wanted us to move him onto a lower fixed rate as quickly as possible.
The Challenge: This case was all about time. As the client’s original mortgage had moved onto the Standard Variable Rate, he needed us to find him a new product as soon as possible, as he was paying above what he needed to be.
The Solution: We carefully reviewed the client’s requirements and swiftly shortlisted the appropriate mortgage products for the client. The client selected our recommended product, giving our client a free valuation, £300 cashback and no arrangement fee; we set about applying immediately. As part of the application, we spoke to the lender to make sure we submitted everything that they needed to process the application straight away. To our client’s amazement, their application was accepted and went to offer in just two days!
Property value: £230,000
Loan amount: £102,000
Rate: 2.02% 5-years fixed
Term: 13 years interest-only
Mortgage payment: £191 per calendar month
Lender arrangement fee: Nil.
Rental income: £1,200 per calendar month
16th April 2020