We were contacted by one of our existing clients who owned the freehold of a mixed-use property in London. The property, which had a high-end fashion retailer on the ground floor and a duplex flat above, was valued at £4m. To further reinvest in his own business, the owner was seeking a buy to let refinance of the flat, which was valued at £3m.
However, just after the buy to let mortgage had been completed, the client received an unexpectedly large tax bill. Because of this, he now not only needed to finance his business’ growth plans, he also urgently needed to raise further finance to fund his tax bill too.
Fortunately, our commercial team have well-established relationships with reputable bridging lenders. This meant we were able to secure the funding quickly and hassle-free.
After one call to the lender, we were able to agree on a deal which structured the facility by taking one charge against the freehold property and a second charge against the flat. In total, we were able to raise £350,000 for our client.
Bridging loans are very relationship led, and are based on reputation and trust in the marketplace. Prior to approaching us, our client had spoken to another broker who had informed him, he should expect an interest rate of 1.5% per month. However, due to our relationships in the industry, we were able to secure an interest rate of 1.15% and provide our client with a significant saving.
Proving how quickly bridging loans can be turned around, the deal was completed within 2 weeks of the initial enquiry and allowed our client to pay his tax bill in a timely manner.
“Fantastic service. I have been using Oakmead Finance for a while now. They are professional in their dealings, as well as being honest and open.
Mr. Jenkins – Property owner