Key Details:
- Client: UK-based property investors
- Property Value: Circa £500,000 multi-unit freehold block
- Loan Amount: Circa £375,000
- Loan-to-Value (LTV): Approximately 75%
A pair of property investors approached Enness Global to refinance a multi-unit freehold residential block in England, valued at around £500,000. The property comprised approximately 15 residential units held under a single freehold title. With an existing low-leverage mortgage reaching the end of its term, the clients wanted to increase borrowing to release capital for further property acquisitions while securing a suitable medium-term mortgage structure.
The clients’ priority was to release additional equity while maintaining manageable and predictable monthly repayments. As the asset was a multi-unit freehold block, lender appetite was more limited than for a standard single residential property or conventional buy-to-let portfolio. The refinance also needed to provide a degree of medium-term rate certainty, allowing the clients to plan their wider property investment strategy without taking on unnecessary complexity.
Enness Global arranged a circa £375,000 mortgage at approximately 75% loan-to-value, structured on a five-year fixed-rate, interest-only basis, subject to lender criteria. The facility released equity from the property while providing a defined fixed-rate period and an interest-only repayment structure aligned with the clients’ objectives.
The refinancing enabled the clients to access additional capital for potential future property acquisitions while retaining ownership of the existing multi-unit freehold block. The structure demonstrates how specialist mortgage lending can provide refinancing options for less conventional residential assets where standard lender criteria may not be suitable.
This case demonstrates Enness Global’s experience in structuring finance for specialist property types, including multi-unit freehold blocks. By assessing the property, borrowing requirements and wider client circumstances, Enness Global can identify lending options appropriate to more complex refinancing requirements, subject to lender criteria.
Important Information
Interest-only borrowing does not reduce the capital balance through monthly payments. The outstanding capital remains due at the end of the mortgage term unless repaid earlier or through a suitable repayment strategy.
Disclaimer
This case study is for illustrative purposes only and does not constitute financial, legal, tax or investment advice. The client scenario has been anonymised and certain details have been generalised to protect confidentiality. Finance is subject to status, underwriting, valuation, asset suitability and lender criteria. Loan amounts, loan-to-value ratios, pricing, repayment terms and lending structures are indicative only and may vary depending on individual circumstances. Enness Global acts as a credit broker and not as a lender.
Risk Warning
Property values can fall as well as rise, and property may be illiquid and take time to sell. Where borrowing is secured against property, failure to meet repayment obligations may result in repossession of the secured property. With interest-only borrowing, a suitable repayment strategy is required to repay the outstanding capital at the end of the mortgage term.
Information contained in our case studies is for market and illustrative purposes only. In some cases, these may be made up of multiple cases and are for illustrative purposes only.
Some case studies are made up of enquiries that have come into the business, not all business completes, and the posting of a case study does not represent a completed piece of business.
Property values can fall as well as rise, and you may not get back the amount originally invested. Property investments can be illiquid and may take time to sell. Where borrowing is used, your property may be repossessed if you do not keep up repayments on a mortgage or other loan secured against it.
