Bridging Loan and Refinance Arranged for Large Self Build
At Clifton, we have the unique ability to provide both bridging loan advice, and advice on the subsequent refinance if you're exiting via a mortgage.
This means we can significantly speed up the process for you - saving you time and hassle in explaining your situation to multiple brokers and lenders - and can provide the reassurance that your longer-term financial plans are water-tight and in safe hands.
The Scenario
We were recently approached by a husband and wife who had self-funded the development of a stunning new family home in Milton Keynes.
But with the project nearing completion they were short on funds, needing an estimated £200k to finish the development while maintaining the high standards of work on the property.
While they had originally planned to remortgage the home once built, it still required fairly significant internal work throughout, and was currently still deemed as 'unmortgageable' in the eyes of traditional mortgage lenders.
So, they'd explored the option of a bridging loan, and came to us for help.
The Solution
We advised that a bridging loan would provide the perfect stopgap to see the project through to completion before refinancing.
With the property currently valued at £1m, they could comfortably raise £225k (£200k for planned work, and a £25k surplus as a contingency) against the home at a very competitive interest rate, to be refinanced with a mortgage when complete.
Having never used bridging finance before, the clients were initially anxious about the process - particularly as they had funded the entire development with their own funds up to this point.
Our broker took the time to go through the process step-by-step in thorough detail, including the costs, potential risks, repayment terms, and more, to aid in their understanding of the process and help them feel comfortable.
Additionally, a senior member of our residential mortgage team was able to step in and provide reassurance that the remortgage to repay the bridging loan would be a straightforward case, and presented a sound exit plan.
Additional challenges:
As with most bridging loan cases, there were a few hurdles along the way for our broker to navigate:
-
The clients wanted to remove the husband from the title of the property to strengthen their remortgaging position. While this was their decision, we needed to ensure that the client had received independent legal advice (ILA) on the implications of this and keep a close eye on the administration involved.
-
They were also working to a deadline - with contractors scheduled to start internal works and requiring payment - so we needed to act fast.
By chasing through the deal with solicitors and the business development managers at the bank, we managed to complete this case from start to finish in just 63 days for the client - an exceptional turnaround, especially when factoring in the ILA requirement.
The client also has the peace of mind knowing that when the work is complete, they can get back in touch for a seamless transition into long-term financing with their mortgage application ready to submit.
James Ellacott
Commercial Finance Broker
Cardiff
0203 880 8890
Do you need help sourcing your own business finance?
I have extensive experience securing finance for a wide range of businesses. Book a free telephone consultation with me at a time to suit you.
Simon Mullins
Finance Broker CeMAP
Cardiff
0117 959 5094
Are you looking for a similar type of property finance?
As a specialist bridging adviser at Clifton Private Finance, I can take a holistic view of your situation and find the right finance solution for you. Book a free telephone consultation with me at a time to suit you.
Paige Dumpleton
Finance Broker CeMAP
Cardiff
0117 959 5094
Are you looking for a similar type of property finance?
As a specialist bridging adviser at Clifton Private Finance, I can take a holistic view of your situation and find the right finance solution for you. Book a free telephone consultation with me at a time to suit you.
Jonathan Moffatt
Head of Business Finance
Cardiff
0203 880 8890
Do you need help sourcing your own business finance?
I have extensive experience securing finance for a wide range of businesses. Book a free telephone consultation with me at a time to suit you.
Alex Morris
Private Client Adviser
Bristol
0117 332 5061
Do you need help sourcing your own property finance?
I have extensive experience securing UK mortgages for clients. Book a free telephone consultation with me at a time to suit you.
Scott Dutfield
Finance Broker
Cardiff
0117 959 5094
Are you looking for a similar type of property finance?
As a specialist bridging adviser at Clifton Private Finance, I can take a holistic view of your situation and find the right finance solution for you. Book a free telephone consultation with me at a time to suit you
Carly Cheeseman
Head of International
Bristol
0117 457 9922
Do you need help sourcing your own property finance?
I have extensive experience securing UK mortgages for clients. Book a free telephone consultation with me at a time to suit you.
Nick Kerley
Finance Broker
Cardiff
0117 959 5094
Are you looking for a similar type of property finance?
As a specialist bridging adviser at Clifton Private Finance, I can take a holistic view of your situation and find the right finance solution for you. Book a free telephone consultation with me at a time to suit you.
Specialist Car Finance
Broker Finance Team
Bristol
0203 900 4322
Do you need help sourcing car finance?
Speak to our finance team or book a team to speak that suits you.
Book ConsultationBusiness Finance
Business Finance Broker Team
Bristol
0203 880 8890
Do you need help sourcing business finance?
We have extensive experience sourcing unsecured and secured finance for businesses. Book a free telephone consultation with our business loans broker team at a time to suit you.
Mortgages & Short Term Finance
Mortgage Broker Team
Bristol
0117 959 5094
Do you need help sourcing a UK mortgage?
We have extensive experience securing 1st and 2nd charge mortgages. Book a free telephone consultation with our mortgage broker team at a time to suit you.
7 Reasons why you should use a specialist mortgage broker »
Book ConsultationDevelopment Finance
Broker Team
Cardiff
0117 959 5094
Do you need help sourcing UK property finance?
We have extensive experience securing UK development finance. Book a free telephone consultation with our team at a time to suit you.
Expat and Foreign National Mortgages
Broker Team
Bristol
+44 203 900 4322
Do you need help sourcing UK property finance?
We have extensive experience securing UK mortgages for clients based outside the UK. Book a free telephone consultation with our team at a time to suit you.
Louis Levine
Finance Executive CeMAP
Bristol
0117 457 7862
Are you looking for a similar type of property finance?
Get in touch today and find out how I can help.
Do you need help sourcing your own property finance?
I have extensive experience securing UK mortgages for clients. Book a free telephone consultation with me at a time to suit you.
Bridging Team
Clifton Private Finance
Bristol
0117 959 5094
Are you in need of a similar type of property finance?
Book a free telephone consultation with one of our bridging specialists today and see how we can help you.
Book ConsultationSam Baker
Finance Broker
Cardiff
0117 959 5094
Are you looking for a similar type of property finance?
As a specialist bridging adviser at Clifton Private Finance, I can take a holistic view of your situation and find the right finance solution for you. Book a free telephone consultation with me at a time to suit you.
Fergus Allen
Senior Finance Broker
Cardiff
0117 959 5094
Are you in a similar situation? I specialise in bridging finance at Clifton Private Finance - I will find you the best funding solution for your property transaction.
Book a free telephone consultation with me at a time to suit you.
Book ConsultationJacob Phipps
Finance Broker
Bristol
(+44) 0117 959 5094
Are you looking for a similar type of property finance?
I specialize in helping international clients source residential and investment property finance for UK property. Book a free telephone consultation with me at a time to suit you.
Book ConsultationJack Spillane
Finance Broker
Bristol
0117 959 5094
Mathew Phillips
Senior Finance Broker
Bristol
0117 959 5094
Are you in a similar situation? I specialise in bridging finance at Clifton Private Finance - I will find you the best funding solution for your property transaction.
Book a free telephone consultation with me at a time to suit you.
Book ConsultationAlex Chambers
Senior Private Client Adviser
Bristol
0117 403 4324
Are you in a similar situation? I am a specialist in residential and investment property finance for UK and international clients at Clifton Private Finance. Please don't hesitate to get in touch for a no-cost discussion of the finance you need.
Book a telephone consultation at a time that suits you.
Book ConsultationLuther Yeates
Senior Finance Broker
Bristol
0117 244 5561
Are you looking for a similar type of property finance?
I have extensive experience finding residential and investment property finance for UK and international clients. Book a free telephone consultation with me at a time to suit you.
Book Consultation
Bridging Finance Team
Clifton Private Finance
Bristol
0117 959 5094
Are you in need of a similar type of property finance?
Book a free telephone consultation with one of our bridging specialists today and see how we can help you.
Book Consultation