Our client is an experienced, Cardiff-based landlord who also works full time as a systems engineer. He was looking to expand his portfolio and wanted to make the acquisition using his SPV limited company which already owns one other rental property.
In particular the client wanted to buy an HMO because of their higher yield potential and fortunately, Cardiff has a good stock of HMOs due to the high number of working professionals and students living in the city.
Mainstream buy to let lenders will not lend to SPVs on HMOs so we approached a specialist lender that was happy to help finance the 6-bed HMO the client had chosen.
Here are the details of the deal:
Portfolio amount: £404,000
Loan amount: £303,000
Rental income pcm: £3,370
Rate: 5.49% fixed for 5 years
Term: 25 years interest only
Arrangement fee: 2%
Completion date: Est. end of Ocotber 2014
This is just one example of how I've helped a client secure finance. To see more of my case studies please visit my profile page. And if you have any funding requirements, please do not hesitate to contact me. My direct line and email address can be found below.