Loan for Jersey Property
5th October 2021
Key facts:
- Freehold estate in Jersey
- Loan amount: £7,200,000
- Security value: £12,000,000
- Margin: 8.5% per annum
- 1.5% arrangement fee, 0.5% exit fee
- 12 month term
Bridging finance is a short-term mortgage secured against your property and is often used to buy a new home before your current property sells, renovate a property before you put it up for sale or upsize or downsize without going through a lengthy mortgage process.
The £12 million property in question was on the market to sell under court order and the existing mortgage had expired. As such, the client needed a loan of £7.2 million to replace existing debt and release fees for the trustees to manage the estate.
If you need a bridging loan of 3 million or above, you’ll find it hard to get the best deal by approaching lenders directly. This type of loan is fast-moving, complex and lots of different parts need to come together at the same time.
In this particular situation, the key was a quick turnaround while still maintaining a competitive headline interest rate. As we have a number of bridging lender connections, we were able to induce a degree of competition to extract the best rate possible. The clients were delighted with this result - the property was sold and loan repaid after 7 months.
As this case illustrates, just because you need a bigger loan, that doesn’t mean you’ll have to endure a lengthier transaction. Enness will be able to secure offers for large bridging loans as quickly as possible and always within the timeframe you need.
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.
