At Diamond Property Finance, we specialise in crafting tailored financial solutions to meet unique client needs, such as securing a bridging loan and a self-build mortgage for a client aiming to construct their dream home.
Case Profile:
Our client sought to raise short-term funding on their debt-free home to release capital for purchasing land and building their new property. This complex case required two loans: a bridging loan to acquire the land and a self-build mortgage for the construction.
The client’s current property was valued at £850,000. They aimed to release 75% loan-to-value (LTV) for the land acquisition, with the sale of their current property as the exit strategy. The land they intended to purchase was listed at £750,000, to be funded via the bridging loan and their savings. Additionally, a £450,000 self-build loan was required to begin the construction.
Solution:
Due to the time-sensitive nature of the land purchase, the clients needed to sell their current property swiftly. Fast bridging finance was the ideal solution, allowing us to secure the loan within the tight time frame necessary for the transaction to proceed.
Conversely, a self-build mortgage is a specialised product offered by a few lenders. That’s where our expertise and market knowledge enabled us to identify the appropriate lenders who could provide both short-term bridging finance and embrace the self-build aspect.
We worked with the client in great detail to understand their requirements and presented these needs to funders to ensure the best pricing available. Then we positioned their case to lenders who are experts at handling short-term bridging and self-build financing.
Our comprehensive presentation provided the lender with all necessary information about the clients, the property, and their experience, enabling a swift decision. Our efforts paid off, and we successfully secured funding for 75% LTV on a bridging loan, and a £450,000 self-build loan as requested. Leveraging our relationships, we negotiated competitive interest rates for both loans.
The client was delighted with the outcome and is thrilled to begin building their new dream home.
