The Client: A young accountant approached us for help to remortgage her home which she had purchased five years before using a Help to Buy Equity Loan which she was looking to repay.
Since purchasing her home, as well as working as an accountant, the client and her brothers had built up a small portfolio of rental properties.
The Property: A three-bed, semi-detached house in Surrey which was brand new when the client bought it.
The Finance: When talking through her requirements, the client requested:
- A five-year fixed rate to protect her against any interest rate rises in the near future.
- A 35 year term to keep monthly payments down
With these in mind we approached the intermediary arm of well-known building society and obtained an Agreement in Principle.
The Application Process: We sent the client a checklist of documents that would be required by the lender in support of her application. This included proof of ID, address and income.
To the client’s delight the offer not only allowed her to repay her loan, but also reduced her monthly payments by £20 a month – every little helps!
Property Value: £470,000
Loan Amount: £255,000
Rate: 1.79% 5 year fixed rate
Term: 35 years
Lender arrangement fee: £1,224 added to loan amount
Mortgage payment: £818 pcm
10th April 2018