Securing a Regulated Bridging Facility for a UK National's Residential Property

31st July 2023

Harry Derrick

Securing a Regulated Bridging Facility for a UK National's Residential Property
Harry Derrick

Harry Derrick

  • Client: UK National & Resident
  • Property: Residential Property worth in the region of £7,000,000
  • Property Ownership: Personal Name
  • Loan: £1,500,000 Net Loan
  • LTV: 21.5%
  • Product: 9-month bridge 0.89% PCM

We were recently approached by a client who needed to quickly release equity from their newly refurbished main residential property in the North of England. The client needed to raise funds to pay an outstanding tax bill and recompensate themselves for some of the funds spent on the property during the refurbishment. There was a tight deadline to repay said bill, hence the need for a short-term bridging facility.

The property was held in the client’s name, and as this was used as the family’s main residential property, we had to approach a lender who could consider the bridging facility on a regulated basis.

The client was a C-level executive at a UK Public Limited Company and held many shares in the business. The repayment vehicle for the bridging loan was the partial sale of said shares later in the year; however, they would only be able to access these funds after their deadline. This is not typically a standard repayment vehicle for a bridging loan, especially on a regulated basis. However, as we were able to evidence a track record of similar sales by the client in recent years, the lender accepted this as the repayment vehicle.

The client required a flexible lender that would allow them to repay the loan with no early repayment charges after the first month of the loan, so they could pay back in full once the sale of their shares was complete. 

We arranged a competitive 9-month bridging facility at 0.89% per month with a lender that could release the funds within the required timescales.

This case evidences our ability to raise funds quickly and efficiently for several reasons while considering non-standard repayment vehicles.

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.