We were approached by a homeowner seeking to refinance their current main residence to raise funds for a deposit on a new residential purchase. The objective was to facilitate a seamless transition between selling their existing home and acquiring a new one.

During the process, the buy-to-let mortgage lender identified damp issues during the property valuation, necessitating a specialist report and essential remedial work before lending could proceed. This requirement threatened to significantly delay the refinancing process, jeopardising the client’s onward purchase as the vendors were becoming impatient and considering withdrawing from the deal.

We acted swiftly to navigate around the potential delay. We sourced a lender who was prepared to refinance the property based on the existing valuation report, without requiring a new one. This strategic move allowed the clients to proceed with their purchase without further delays, ensuring continuity in their relocation plans.

The solution was a six-month bridging loan with interest rolled into the loan, provided at a competitive rate and a Loan-to-Value (LTV) of 75%. This bridging facility enabled the clients to secure the necessary funds for their new home purchase, provided them with the time needed to address the damp issues, and ultimately allowed them to refinance the property onto a buy-to-let mortgage. This strategy not only facilitated their immediate housing needs but also allowed them to retain their original property as a rental asset, optimising their investment.