Back to Blog
June 16, 2020

Case study: 75% LTV Residential Bridge with multiple exit options

Luke Stevenson Written by Luke Stevenson
Blog post
Share this article:

Client: An experienced property renovator

Request: Residential bridging loan to purchase a bungalow for the purpose of refurbishment or replacing with three units

Loan total: £210,000

LTV: 75%

—————–

An experienced property renovator approached us for terms on a project they were looking to start in Stalybridge, less than 10 miles out from Greater Manchester.

They needed residential bridging finance to support the purchase of a bungalow, but with two proposed exit strategies:

  1. Apply for planning permission to demolish the bungalow and build three new residential units in its place
  2. If the planning application failed, renovate the bungalow and refinance for Buy-to-Let.

To agree to this, we needed to see evidence that both projects would add the necessary value to the property for it to be desirable and pay back our loan.

Valuers saw evidence that the first proposal would increase the value of the plot by nearly £400,000, while the renovation would make the worn-down property attractive to both renters or purchases. 

With this information in hand we funded the deal this month.

Our Residential Bridging rates start from 0.55% and go up to 75% LTV. To get started go to our Residential Bridging page for all our rates and an instant quote. Alternatively you can call our salesdesk: 020 3846 6886.

Tagged under:Borrow

Related articles in Borrow

Speciality Finance and the Long-Term Asset Puzzle: Key Takeaways from Global ABS 2025
Capital

Speciality Finance and the Long-Term Asset Puzzle: Key Takeaways from Global ABS 2025

UK Property Market: What Latest Inflation Data Means for Property Investors
Capital

UK Property Market: What Latest Inflation Data Means for Property Investors

How to Find Investors for your Property Project
Capital

How to Find Investors for your Property Project