Round-Up: December 2022’s Top Picks

Cornerstone Commercial Finance Round-up December 2022

December was a busy month in terms of completions, with 21 deals over the line in the weeks leading up to the Christmas break, with all team members contributing. These deals included:

Buy to Let | £301,000

A client was looking to refinance his existing portfolio to pull out extra cash to move onto his next venture.

Credit isn’t great with missed hire purchase payments and a missed mortgage payment.

AVMs were used to speed up the process and reduce costs, with completion taking place within 6 weeks. 70% LTV was obtained.

Bridging Loan | £240,000

The commercial team completed a £240k Bridging Loan for an existing client, with the deal completing within 8 days of the first enquiry to our commercial manager, Loui O’Brien.

Working as a team, Loui, Rob, and Ian pulled out all the stops to get the loan drawn, allowing the client to make an ongoing purchase after the BTL provider changed their terms at the last minute.

BTL Mortgage – Multi Unit Freehold Block | £225,000

Clients purchased property and renovated it into a MUFB. As part of the build, they received a regeneration loan from the local council; however, due to COVID, the build took longer than expected, and they were required to repay the loan as soon as possible.

An initial mortgage application was made; however, the funding was insufficient due to the property’s down valuation. An alternative funder was approached, whose surveyor agreed with the valuation and rental figures quoted.

A mortgage secured on the MUFB property was arranged with Fleet Mortgages just prior to the interest rate increase as a result of the government’s mini budget. We were able to raise sufficient funds to repay the loan provided by the council and release capital to the clients for their next venture.

BTL Mortgage – Purchase | £191,215

A first-time landlord came to Cornerstone looking to purchase their first BTL property. The client was looking for the maximum loan available.

We sourced a suitable option where the client could borrow the desired loan amount on a 2-year variable rate.

Heavy Refurbishment Bridging Loan | £166,080

Client looking to purchase 2 properties, and spend £80,000 to refurb them, with the plan of then selling at a profit. This was their first project of this type

A 75% LTV was obtained on Day 1, with £44,000 of the works funded within a week of completion. The remaining works will be advanced in stages in line with the works being carried out to ensure the project’s completion.

BTL Remortgage | £103,125

An existing client came to Cornerstone looking to refinance another property within their portfolio. Originally, the client was looking for a Product Transfer with their existing lender.

After searching the market, we were able to secure a rate that was 1.46% cheaper than the product transfer offered by the existing lender.