A First-Time Landlord Requires Careful Assessment

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A broker can turn to us when it becomes harder to raise funds for a specific client. A first-time landlord may want to expand their portfolio, but their lack of experience will prevent them from accessing finance with high street lenders.

Say a client invests in a home at a low price. At first glance, it would have seemed like a bargain, but its cheap value was actually the result of the fact there was limited demand in this corner of the residential market. As a result, it will generate a low yield.

Given this, the broker here will struggle to raise capital for the planned expansion. Even if the plan itself was solid and filled with potential.

Increasing Loan Amount

Fortunately, at Market Financial Solutions, we have tools at our disposal to increase our loan sizes where possible, and suitable. To start with, unlike mainstream lenders, our loans are based on a property’s (or portfolio’s) value, as opposed to a borrower’s income level. Here, so long as the portfolio’s value was high enough, we’d be able to find away forward.

Also, to address the limited income issue, we could utilise top-slicing. Say this borrower generated £10,000 a month from their business operations, while their monthly expenses amounted to £5,000. this leaves £5,000 in disposable income, and we could take this ‘top slice’ of income to support the capital raise.

Moreover, we could further increase the borrowing potential for the client by rolling and deferring a few months of interest. This would provide more breathing space for the borrower to organise their affairs, and try to raise their yield.

FAQs

What made this residential and buy-to-let refinance necessary for the borrower?

Many investors find themselves needing to refinance their portfolios when existing deals near expiry or new opportunities arise. In this case, the borrower needed to unlock funds tied up in both residential and buy-to-let assets. With many high street lenders tightening their criteria, they turned to us for a solution that could be delivered quickly and without unnecessary red tape.

How did you make sure the deal progressed without delays?

Timing was key, as the borrower faced tight deadlines to settle other commitments. We began underwriting from day one, so we could spot any issues early and keep the process moving. By taking this proactive approach, we avoided the last-minute surprises that can derail a refinance. Our team worked closely with valuers and solicitors to keep the deal on track.

Why does flexibility matter for portfolio landlords in the current market?

Investors with mixed portfolios often need lenders who see the bigger picture. One property might be owner-occupied; others might be let to tenants – and each comes with different income streams and challenges. That’s we apply a flexible mindset. We can structure loans to cover both residential and buy-to-let assets in one facility, saving borrowers time and hassle while ensuring they have the liquidity to grow their investments.

How do you keep clients fully informed during the refinancing process?

Clear communication is vital when multiple properties are involved. We made sure the borrower understood what documents were needed for each asset, how the valuations would be managed, and what costs to expect. By being upfront and transparent from the start, we helped the client plan their next steps confidently – with no hidden surprises. It’s this openness that keeps brokers and investors coming back to us for deals that demand reliability and speed.