Case Study

£600,000 Loan - Renovation of Existing Cottage - Converting Two Cottages into One Dwelling with an Extension

Key Facts:

  • Planning agreed to knock two cottages into one and add a side extension

  • Site value £900k

  • Loan required : £600k

  • Gross development value: £2m

  • Traditional block and stone

Problems:

Client has a employers trust ownership set up after selling his business into an EOT – meaning his salary and payments on the shares sold are dependant on the companies continued profits/success.

He also had a bridge to clear which he used to purchase the property initially and needed this to complete ASAP.

Solution 

We took time to understand the contract of employment and details of the EOT agreement to ensure the lender agreed upfront to the income and affordability assessment for the case. We needed to ensure they fully understood how this worked

The client loan was approved and mortgage offer issued in 4 weeks (average SLA 8 weeks) and now aims to complete ASAP.