The borrowers were a South East based couple, looking to purchase a £1.25m residential home at auction. They were proceeding with a long-term mortgage but were declined by the initial lender at the final legal stage. This meant the couple risked losing the £125,000 deposit they had already paid to secure the property.
An application was submitted via Masthaven’s short-term lending portal for a bridging loan. A £600,000 loan was agreed on a twelve month term, at a rate of 0.53%, at 60% LTV within five working days.
David Kennedy, chief lending officer at Masthaven Bank, said: “The borrowers were upsizing and purchasing their dream home, so the initial rejection was a major disappointment; being able to resolve this and turn their dream into reality means we’re doing our job right.
“This particular case is also testament to the utility and versatility of bridging finance; it can be an incredibly powerful problem-solving tool that is often overlooked and deserves more attention.”
Original article featured here…
Masthaven recently lowered the minimum loan size across its bridging, specialist bridging and refurbishment range to £200,000, down from £300,000. Rates for bridging loans at £200,000 now start at 0.43%, a decrease of 0.15% and the lowest ever bridging rate from the specialist lender.