Gross Loan Amount:
Auction buyer already bid for the property and had paid the deposit. They were at risk of losing this deposit as the deadline to complete was approaching fast.
The property was unregistered, meaning that there was no title on land registry. In addition, the property was an old, dilapidated building.
They were not able to get long term funding quick enough and needed to first register the property officially.
The property also required medium refurbishment.
The terms were sent in 4 hours and valuers were instructed to visit the property within 24 hours.
We were able to lend against the property even though there wasn’t a title on land registry. Our underwriter worked alongside the legal team to put the correct wording on the clauses to obtain the first charge on full registration.
MFS look at a borrower’s whole circumstance and does not work on a tick box criteria. Our dedicated underwriter and experienced legal partners made sure that we were able to issue the bridging loan from our readily available funds and not delay the deal due to the fact it was not registered.
The buyer was able to complete, finish the works and value of the property went up due to the official registration and refurbishment works.
Long term exit was to refinance or sell the property in their favour. A successful property purchase outcome.