Case Study: Bridging loan to fund a residential development
Here’s an overview of a recent bridging loan our Specialist Team arranged to fund a residential development.
The Problem
A Property Developer approached his Mortgage Broker to obtain a £190,000 loan to fund the build of an idyllic countryside cottage in Surrey.
The Property Developer had purchased a plot of land with cash and secured full planning permission. Due to other commitments, the land had remained unused for a number of years, however, the value of the land had increased to £1.2m during this time.
The Property Developer wished to sell the property and land on completion of the build and only required the loan for a maximum of 12 months. With a clear repayment strategy in place, the Mortgage Broker contacted Ingard’s Specialist Team to find out the best terms available.
The Solution
Due to the required loan to value being so low, Ingard was able to negotiate extremely competitive terms with a number of prime bridging lenders.
New to the market lender, True Bridging, was able to beat other lenders on the rate and move exceptionally quickly.
An Offer was issued to the customer within 3 days without True Bridging even needing to carry out a Valuation because of the Property Developer’s experience and the strength of the case.
True Bridging instructed their dedicated Solicitor to carry out joint legals and within just a few days the case had completed. The customer was ecstatic at the speed in which their bridging loan had completed.
Ingard’s Specialist Team and the introducing Mortgage Broker split the 1% Broker Fee and 1% Procuration Fee on completion. This means the Mortgage Broker earnt a handsome payment of £1,900 for simply referring Ingard’s Specialist Team a name and number.
Here to help
For help placing a specialist case, call our team on 01702 538 800 or arrange a call back.