The Clients: A couple who were directors of their own limited company. Neither had owned property for several years and were looking to purchase their first home together.
The Property: A 3-bedroom penthouse flat in a converted industrial building, situated conveniently close to the couple’s business and in a prime London commuter belt area.
The Finance: The couple had a decent 42% deposit to put on this property but required a mortgage to complete the purchase.
The Challenge: Unfortunately for the clients they had been declared bankrupt in 2012, something that would often put lenders off. To overcome this, we would have to prove to the lender that the couple were now not a risk and would be able to keep up with mortgage repayments.
The Solution: Since the bankruptcy, the couple had worked hard to rebuild their credit profile by keeping up with small finance agreements. Armed with this evidence, and the larger than average deposit they had managed to save, we were able to present it to several lenders as evidence that the clients were no longer a financial risk. All the final lender required in addition to the usual documentation was an accountant’s reference for the couple’s company, which secured the well-priced mortgage. Here are the details:
Property value: £405,000
Loan amount: £233,084
Rate: 1.71%, 5-year fixed
Term: 10 years
Mortgage payment: £2,077
Lender arrangement fee: £995
Consultant: Ashley Jones, 01732 471694
Alternatively you can email me: AshleyJ@mortgagesforbusiness.co.uk
22nd November 2019