Overcoming several complications to provide funding for a foreign national

Overcoming several complications case study

Loan Amount:
£126,500

Property Value:
£230,000

LTV:
55%

Sometimes, we must work with multiple complications at once. While still facing tight deadlines. It can be tricky to keep up with so many moving parts. But, we have several years of working with complicated cases behind us.

We’ve built up a wealth of knowledge and experience that allows us to adapt to challenges when they arise. One of our underwriters recently had to deal with many different kinds of complexities to help a borrower refinance an existing facility. On top of being a foreign national, which can make getting UK Property finance more difficult, the borrower’s security asset needed some maintenance work. With time in short supply, we got to work.

Certain difficulties may not look so bad at second glance

Our underwriter combed through the property’s details to see where potential delays could emerge. While we saw that maintenance work was required, we noted refurbishment work had recently been completed. This suggested the remaining works wouldn’t be substantial, or require a lot of resources.

Furthermore, we are experts in Foreign National cases. We can work quickly to get finance issued, and we can even do so for those with no previous UK credit footprint.

The client was short on time. They needed a refinancing bridging loan to cover an existing facility, and progress their property investment plans. There were also sound exit strategies that would be available, which included both a long-term plan and a back-up plan.

It’s difficult for borrowers in the current market

Borrowers with these kinds of complicated backgrounds will likely become increasingly reliant on specialist finance over the coming months. While the economy is showing signs of recovery in places, the mainstream lending market still seems spooked by the September mini-budget, and rising rates.

In fact, recent analysis on the availability of home loans revealed now is the toughest time to get a mortgage in 15 years, outside of the pandemic. High street banks continue to shy away from this market, despite demand still being there from property investors, landlords, and homeowners.

It’s unclear how prepared the mainstream lending industry is for the coming challenges of 2023. But, the specialist market will continue to provide flexibility for those willing to look beyond the short-term.