- Client: Italian national, Monaco resident
- Property: Freehold house, Chelsea
- Property value: £4.5M
- Loan amount: £3.375M
- LTV: 75%
- Rate: 2.24%, 5-year fixed
Enness was approached by an Italian national and Monaco resident looking to purchase a modernised four-bedroom freehold house in Chelsea. The client was retired and no longer had an active source of employment income, with the proceeds from a previous business sale forming the basis of their available wealth.
The challenge was finding a lender willing to look beyond conventional recurring income. For non-resident borrowers, income from a business sale or other significant capital event can require a different approach to affordability, particularly where there is no ongoing salary or employment income.
Enness explored lenders able to take a broader view of the client’s financial position, considering the source of their wealth and overall assets rather than relying solely on regular earned income. This allowed us to identify a lender comfortable with the client’s circumstances and the proposed level of borrowing.
We secured a mortgage of £3.375M against the £4.5M Chelsea property, representing 75% LTV. The facility was agreed at a competitive rate of 2.24% on a five-year fixed term, giving the client the certainty of a fixed rate while allowing them to retain more of their capital rather than funding the purchase entirely from available assets.
The case demonstrates the importance of presenting a non-standard income profile in the right way. For international clients, particularly those who are retired or whose wealth has been generated through a business sale or other capital event, the most appropriate lender may be one prepared to assess the wider financial picture rather than relying on a standard income model.
Enness works with international and private banking lenders to structure UK property finance for clients with complex financial circumstances. Each application is assessed individually, with the aim of identifying a lender and structure that reflects the client’s assets, wealth and borrowing requirements.
Disclaimer:
This case study is for illustrative purposes only and does not constitute financial, legal or tax advice. Finance is subject to status, underwriting, valuation and lender criteria. Borrowing against property carries risk, and failure to meet repayment obligations may put secured assets, including property, at risk.
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.
