301k Bridging Loan - Portfolio Landlord

An experienced portfolio landlord identified an opportunity to acquire a 3-bedroom residential property next to his own home. He planned to renovate the property and was prepared to fund the refurbishment works himself.

His priority was to maximise the amount of funding available on day one, giving him greater flexibility to complete the acquisition while retaining his own cash for the planned refurbishment.

The funding structure needed to balance the client's requirement for maximum day-one leverage with the lender's approach to retained interest and the property's valuation.

The case also required additional underwriting attention because the landlord had a separate precious metals trading business and had recently travelled to Uganda, a jurisdiction requiring enhanced consideration as part of the lender's compliance and source-of-funds checks.

The lender needed to be comfortable with both the property and the client's wider financial circumstances.

Particular attention was given to the client's business activities, recent international travel and the associated compliance requirements, alongside confirmation that the property's estimated full Market Value was supportable.

The valuation was ultimately upheld at £376,000, giving the lender confidence in the security while the additional underwriting points were worked through.

We secured a £301,000 bridging facility over nine months, structured with six months' interest retained and three months' interest serviced.

This structure gave the client a £277,000 net advance on day one, maximising the funds available for the acquisition while allowing him to retain his own capital for the refurbishment works.

CC Finance worked closely with the client throughout the underwriting process, helping to address the lender's additional questions and present the required information clearly and efficiently.