OVERVIEW


 

We offer short-term loan facilities secured against residential properties and can also provide loans where there may be light or heavy refurbishment works required.

These loans are used where there is a residential property being provided as security and the purpose of the loan is to either acquire, release funds or refurbish the property. Typical examples include:

  • To purchase a residential property quickly when it may not be viable to arrange traditional high street finance (e.g. via auction).

  • To enhance the value of the property by conducting light refurbishment works (e.g. through the replacement of carpets and painting).

  • To enhance the value of the property by conducting heavier refurbishment works (e. adding new kitchens, bathrooms).

  • To refinance a completed development site to provide more time to sell.

We are geographically agnostic across England and Wales, and have an extensive panel of specialist valuers who can appraise properties in these regions. As these are 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 Criteria

sTANDARD PARAMETERS

NOTES


 

LOAN SIZE

£150,000 - £5,000,000

Loans smaller / larger considered by exception


LEVERAGE

Up to 70% (gross)

75% considered by exception


TERM

3 - 15 months

3 months minimum interest applicable on any facility redeemed within 3 months. Typical residential loans for investment purposes have a maximum term of 12 months, while refurbishment loans have a maximum term of 15 months


Fees

2% arrangement fee, valuation and legal fees, £295 administration fee

Valuation fees payable directly to valuation panel manager


location

Across England & Wales

Leverage may be adapted based on liquidity of specific location


property type

Unacceptable securities include steel framed properties; mobile homes and Grade I listed buildings

Acceptable securities include detached; semi-detached; terrace; bungalow; flat; maisonette; ex-local authority


TYPE OF WORKS

Light refurbishment product can be used when there are non structural, minor works (e.g. carpets and paint). The lend will be against current market value

Heavy refurbishment works cannot take more than 30 days. More extensive works will fall into the renovation


TENURE

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

Leasehold less than 75 years; freehold flats and maisonettes, and full flying freeholds not accepted


BORROWER PROFILE

Acceptable borrowers include: UK residents; UK companies; selected overseas companies with shareholders resident in UK

Overseas companies with non UK resident shareholders cannot be accepted

 
 
 
 
 
 
 

CASE STUDIES

 

 

RESIDENTIAL BRIDGE 

REFURBISHMENT BRIDGE 

 

58.80% LTV

Loan to complete a development project secured against multiple residential assets 
 
Loan amount: £1,300,000

 

60.12% LTV

Loan to refurbish a property in North London prior to it being rented out

Loan amount: £520,000