Round-Up: February 2023’s Top Picks

Feb 23 Roundup

Another busy month for the Commercial Finance team saw a variety of funding requests, a small sample of which are detailed below:

Buy to Let | £382,500

The client has refurbished his HMO and wanted to refinance to pull out the money spent on the property. Maximum borrowing was secured through Fleet Mortgages.

Development Finance | £350,000

Four international rugby players had started a development in Cardiff; they incurred many issues such as planning delays, structural issues, and increased development costs. As a result, their existing finance expired, and the existing funder was not willing to provide an extension or further finance.

A new deal was arranged that repaid the existing funder as well as providing the applicants with the funds needed to complete the scheme. Gave them the time and money needed to complete and refinance.

Regulated Bridging Loan | £250,000

Two applicants were looking to raise funds against their property to then gift to their daughter.

£250,000 was raised as security against the main residence on a retained bridging loan, i.e., no monthly repayments to fit in line with their earnings. The cheapest rate on the market was secured for the clients.

Unsecured Business Loan | £250,000

We were approached by a client who was seeking cheaper terms on an unsecured business loan that they received from an alternative commercial broker. After a discussion with the client, we established that they required £250,000 with the funding provided within 10 working days so that they could meet their deadline.

By using our relationships with the unsecured lending market, we were able to quickly identify lenders that would not only provide the lending terms at a preferential rate but also within timescales. Merchant Money gave us direct access to their case manager, which allowed us to move the application forward and deal with any questions or requirements quickly.

Commercial Investment Mortgage | £200,000

The client was recommended to us to assist with the purchase of a property that consisted of 2 commercial units. The client was seeking a mortgage of £200,000 against the purchase price of £300,000, with the repayments being interest only.

As the client was seeking full interest only, we were able to source funding with Interbay, who were happy to provide the full mortgage over a 10-year term. As the application started just prior to the base rate increases, we were able to complete it within Interbay’s timescales to secure the lower rate.

BTL Mortgage | £75,000

The client came to Cornerstone Finance following a referral to secure a BTL mortgage to purchase a flat in Cardiff Bay. There was a slight challenge with the index-linked ground rent on the property.

A suitable product was sourced for the client with a 10-year repayment period. Through working closely with the solicitor, a dead of variation was put in place prior to completion, ensuring that the ground rent policy was rectified within the lender’s criteria before the loan completed.