OVERVIEW

Short-term loan facilities secured against residential property in England or Wales for purchase, investment or refurbishment purposes. These products are used where the borrower intends to undertake non-structural works to the property.

These are an unregulated products. The security property cannot be occupied or have ever been occupied by the borrower or a family member if the loan is taken in a personal capacity.

 
 

KEY FACILITY TERMS

 

 

Max loan size
£5,000,000
Min loan size
£250,000
Max loan to value
70% (Gross)
Valuation fee
Market rate

Loan term*
1 to 12 months
Arrangement fee**
2%
Early redemption fee
None
Legal fees
Market rate

* 3 months’ minimum interest applicable on any facility redeemed within 3 months
** This is Pivot’s standard Arrangement Fee, which is flexible and can be discussed with the Origination Team

 
 

INDICATIVE RATES

 

 

RESIDENTIAL

LTV (existing use) | Monthly interest
<55% | From 0.74%
<65% | From 0.85%
<70% | From 0.89%
Above 70% | Rates available upon request

REFURBISHMENT

LTV (existing use)  | Monthly interest
<55% | From 0.85%
<65% | From 0.89%
<70% | From 0.95%
Above 70% | Rates available upon request

 

Key Criteria

Not accepted

Accepted


 

Property

 

Detached; semi-detached; terrace;
bungalow; flat; maisonette;
ex-local authority

Steel framed properties; mobile
homes; Grade I listed buildings
 


Charge

1st or 2nd charge

Equitable charge


Freehold; leasehold with 75+ years
on lease; commonhold; possessory
title

tenure

Leasehold less than 75 years; 
freehold flat and maisonette:
full flying freehold


applicant

UK residents; UK  companies; overseas
companies with shareholders resident
in UK

Overseas companies with non-UK
resident shareholder


Assessed on a deal by deal basis

credit


Refurbishment

Structural works; conversion &
extension

Non-structural works (e.g. replacing
kitchen and bathrooms is acceptable)


 
 
 
 
 
 
 

INFORMATION REQUIRED

 

 
  • Location of security;

  • Loan required;

  • Borrower type;

  • Estimated value of security;

  • Purpose of loan;

  • Exit strategy;

  • Additional security;

  • Term;

  • Schedule of works (refurbishment)

 
 

CASE STUDIES

 

 

RESIDENTIAL

refurbishment

 

58.86
%LTV

CASE STUDY 1:

FIRST Charge loan to facilitate the buyout of two other shareholders in a company
 


LOAN AMOUNT: £1,736,000

 

64.53
%LTV

CASE STUDY 2:

first charge loan secured against a residential property in central london



LOAN AMOUNT: £871,000