There’s a reason investors keep on coming back to us. With our history of providing top levels of service – regardless of the challenges that present themselves – we’ve proven we can help buyers through a range of circumstances.
A client who we have lent to previously contacted us as they needed help with their buy-to-let investment. With a lot of experience in UK property, the borrower was keen to progress, having already spent money refurbishing the property to a high specification.
Our underwriter, Jemima Hayes, got to work, doing everything she could to make sure the client added to their buy-to-let portfolio.
Small administrative hiccups won’t stop us from looking at the wider picture
The client needed funding for a large buy-to-let property which had rental opportunity in the making. Following renovation work, the borrower turned to us to help them clear an existing bridging loan.
However, early in the process, we realised the property in question had yet to be updated on the Land Registry. As the application was still pending, we had to ensure we were moving forward on solid foundations. As such, Jemima investigated the client’s history and exit strategy, whilst our solicitors were working hard in the background to try and get this resolved prior to the completion.
Fortunately, we had worked with the client multiple times in the past and as such, were aware of their vast experience in the buy-to-let market. With multiple exit strategies available, and considering the client’s strong credit history, we felt comfortable in issuing the loan.
Refurbishment spending may prove worth it considering how high rental yields are getting
Refurbishing rental property has emerged as a key strategy in recent months as demand among tenants has skyrocketed. In the North of England, rental yields of over 8% have been seen. Additionally, as younger workers are priced out of buying, they have no choice but to embrace long term renting.
This demand is set to become more acute over the coming months, as universities get back to normality and students seek out the best houses of multiple occupancy. Generation Z alone are expected to pay £11.7 billion in rent in 2022, a fifth of the country’s total bill.
If you’ve found a property you’d like to renovate to take advantage of the lucrative rental market, why not check out our blog? We explore the key details you need to know – from how high renovation bills could get, and how they can be cut.
- Featured Product: Residential & Buy-to-Let Bridging Loan
- Explainer Video: Buy-to-Let Bridging Loans
- Tool: Bridging Loan Calculator
- Report: A Guide to conversion, refurbishment and renovation
- Blog: What are exit strategies? Everything you need to know
- Blog: How much will you spend on property renovation costs and is it possible to lower the bill?