£4.9 Million Private Bank Mortgage for German National

• Client: German national, UK resident
• Property: Grade II listed townhouse, Hampstead Heath
• Property value: £5.8M
• Loan amount: £4.93M
• LTV: 85%
• Repayment: Interest-only

Enness was approached by a German national and UK resident looking to secure finance against a Grade II listed townhouse in Hampstead Heath. Valued at £5.8M, the property required a mortgage of £4.93M, representing an 85% loan-to-value.

The client wanted an interest-only structure and, importantly, did not have assets under management to place with the lender. The income position also required a more flexible approach, as the client was due to receive carried interest payments during the term of the mortgage but had no historical evidence of receiving payments at a similar level.

Rather than relying solely on historic income, Enness approached a private bank able to take a broader view of the client’s circumstances. The lender was prepared to consider the anticipated carry payments when assessing affordability and offered a flexible amortisation structure around the expected future income.

The resulting facility provided the client with the 85% LTV they required on an interest-only basis, without the need to place assets under management with the bank. The bespoke approach allowed the lender to consider the client’s future financial position alongside their existing circumstances.

Private banks can be particularly valuable where a borrower’s income, assets or future liquidity do not fit neatly within traditional lending criteria. Enness works with an extensive network of private banks and specialist lenders to identify financing structures suited to complex requirements, including high-LTV mortgages and interest-only mortgages.

In this case, the lender’s willingness to take a forward-looking view on the client’s carried interest income was key to achieving the required level of borrowing and creating a structure that matched the client’s circumstances.