What was needed?
Our client, based in London, needed to refinance their property in order to release some equity in order to fund a property development that they were investing in. The client needed a short term solution in order to release capital to purchase the development site, and decided to use their residential property as security for the loan.
What did we do?
We spoke to our clients about refinancing their property arrangements with a remortgage on their personal property which allowed them to release the required capital for their property investment. We spoke to the client to understand what they needed, what their situation was and then shopped the market for our exclusive partners and presented them with a range of options.
The Loan To Value (LTV) of this refinancing was 75%. The total amount lent was £650,000
An interest rate of 7.5% PA (Per Annum) which means that the total interest paid was 7.5% of the total value of the loan over the course of the year.
A 12 month refinancing deal was agreed between our client and the lender, giving them time and space to repay the loan and reach their exit goal.
The exit plan was to wait until planning permission came through to the client for their new investment which was land that they intended to build on. After 12 months the planning permission was agreed and the loan was repaid.