£805K Bridging Loan to Prevent Repossession of Yorkshire Investment Property

The clients required urgent short-term finance to repay an over-term mortgage secured against an investment property worth £1.15M in North Yorkshire. With the existing lender threatening repossession and adverse credit limiting refinancing options, time was critical.

Clifton Private Finance stepped in to secure a fast, flexible bridging loan that cleared the existing debt, stabilised the situation, and gave the clients the breathing space needed to execute a viable exit strategy.

The Challenge

The primary challenge was urgency. The existing lender had begun preparing repossession proceedings, meaning the bridging loan needed to complete by a fixed deadline to prevent enforcement action.

In addition, the clients’ adverse credit profile ruled out traditional refinancing routes, while the repayment strategy relied on a combination of asset disposal and the forthcoming sale of a business. This is an exit structure many lenders would not typically accept.

The Solution

Drawing on our market knowledge, we approached a specialist bridging lender we knew would be comfortable with adverse credit, debt consolidation, and a flexible exit strategy.

The lender agreed to clear the existing mortgage in full and accept repayment via either the sale of the property or proceeds from the business sale, providing the clients with much-needed flexibility while reducing immediate pressure.

An £805K facility was approved at 0.95%, with interest rolled up for the full 12-month term.

The Outcome

The loan completed within six weeks, successfully repaying the over-term mortgage and halting repossession proceedings. The clients were given the time and flexibility needed to progress the sale of both the property and their business under controlled conditions.

Without specialist support, the clients would likely have faced enforced sale or repossession. Our targeted lender selection and structured approach ensured the property was protected and the clients regained control of their financial position.