A broker approached us for helping in source a deal for a client who has a large portfolio of rental properties in London and the South East and also works full time.
The client was looking to remortgage a 2-bed terrace house in Greater London which he owns in a long-established SPV limited company.
He preferred a fixed rate but didn’t want to be tied in for as long as five years.
The house is let to professionals and generates a good rent so placing the case with one of the newer specialist lenders was a relatively easy and quick process.
Here are the details of the deal:
Property value: £400,000
Loan amount: £279,699
Rate: 4.19% fixed for 2 years
Term: 25 years interest only
Lender arrangement fee: 1.5% (£4,195)
Rental income: £1,650 pcm
Mortgage payment: £977 pcm
Gross yield: 5% pa