This case study details the market leading, 85% loan to value, interest-only solution we arranged for our client's new build purchase.
Our clients' challenge
Our clients were purchasing a new home together. The property was a new build flat, due for completion over the coming months. They were concerned by mortgage rate increases, and therefore wanted a mortgage offer which would give them the longest possible completion window, in case the build were to overrun. They were buying with a 15% deposit, and wanted to borrow on an interest only basis. They had previously been told by another adviser that this was not possible at that deposit size.
Alexander Hall's solution
We sourced a lender with a market leading rate, that was prepared to give the client interest only at 15% deposit on a new build flat, through becoming a ‘Premier’ customer with them. Speed was of the essence given consistent mortgage rate increases, so with that in mind, the adviser booked the funds on the desired rate, ensuring they would remain available whilst the Premier banking arrangement was put in place. The lender also provided a guarantee, that should the property build overrun, they would extend the 6 month mortgage offer on exactly the same rate. The clients were delighted at the resourcefulness and lender knowledge demonstrated by the adviser. Having a rate guaranteed, with assurances of a long-term offer, allayed all of their immediate concerns. As things stand the build is going to plan and our clients are due to complete in the coming weeks!
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