Here at Enness headquarters we believe that ten heads are better than one. Although our brokers each manage different clients they're constantly chatting amongst themselves so that they can look at unplaceable mortgage solutions objectively.
For that reason every Tuesday we sit down as a team to give an overview of the cases we're working on to see if there are any angles on a situation we might have missed. That's the thing with property finance - there's always going to be a myriad of routes that can be taken and sometimes not every way will jump to mind.
We also discuss all our recent achievements to get the brokers' brains ticking. An example of this is the high value million pound 85% loan to value interest only deal below which impressed the team.
This week, for example, one of our brokers has been working on a tricky case for the last month and had tried all the routes he could possibly think of.
Lease Extension for a million pound property where the client was a non UK national or resident.
He explained the situation - a West African family owned a couple of million pound plus properties in Central London and needed to extend the lease on one of these. The lease was due to run out in thirty years so was going to be costly to extend but would double the value of the property instantly.
The client didn't have the financial resources for this independently so wanted to leverage the funds against his parents' property. However the obstacle was that they wouldn't be able to borrow the money themselves due to their age (both 70 plus). After having approached a couple of lenders he thought would consider this and being declined he thought the case was potentially an "unplaceable".
However, the broker brainstorming session provided a lot of creative routes that hadn't been thought of before and now he's half-way to solving that case, believing it to be more than possible. We will tell you how we got on next time.
Refinancing a multi-million pound portfolio for a property developer where the rental income isn't quite there (in an environment where very few lenders like property developers!)
Another one of our brokers - from the commercial side - bought up a high net worth property developer whose circa £4.5 million property portfolio wasn't generating enough income to allow for a typical remortgage. The broker had exhausted all the routes he could think of so the team then explored various different ways in which the client could either re-finance or consider selling a couple of the investments to leverage funds in the long-term.
High loan to value property refinancing for property developers is sometimes quite tricky - let's see how we get on with this one!
US based guarantor mortgage for law students with no income one a new build flat valued at over a million!
Another super tricky case was broached by one of our brokers. She had recently been asked to finance a property which was to be split-owned between three law students (all of whom had training contracts in the pipeline). The property they wished to purchase is worth £1 million, it was a new build and the only way it would work is if one of the students' parents guaranteed the loan. One Father was willing to do this. However, he was American, so this further complicated the situation due to investor and US legislation.
This is a very difficult set of circumstances- even for us. It's relatively unheard of to get a mortgage on the basis of a projected income, particularly hard to use US assets and income and cross border guarantor mortgages are very rare. Plus, the property in question is a new build flat valued over a million!
However, as a team, we explored the options - considering AUM, lending against assets and more as a viable solution to this, alongside a few other solutions. By the end of the conversation we were pretty sure we will get somewhere with this one!
As a company one of our biggest assets is our team. Their cumulative experience is unmatchable. That's why we really nurture the idea of creative financial solutions tailored for the client rather than just taking a generic "tried and tested" route.
For that reason we also encourage the brokers to share their recent successes. Here are some of the great achievements we have made in the last few weeks.
85% loan to value interest only for a purchase over £1.5 million pounds.
Getting a mortgage at 85% over a million pounds is rare. Getting an interest only mortgage at any loan to value over a million isn't easy - getting both - well, that's something! We achieved this for the first time with one of our lenders and managed an interest rate at just under 4.2%. You can imagine how happy our clients were!
Mortgage based on a share of net profit of a company which is retained in the company.
Mortgage affordability (especially for million pound mortgages) has been in focus for months now and many lenders will only lend based on what the client actually earns (and what actually hits their bank account). Mortgages based on retained profit, especially where the client's ownership is in the minority are very rare - but yes, we managed it last week. Look out for a case study on this one soon!
We have also completed on a batch of million pound plus residential and commercial deals of late. For some reason we've also been approached for numerous bridging finance enquiries in the last few weeks. We really are covering the whole market!
As you can see we give as much time to the hard cases as we do to the easy ones and genuinely try to get a result for every client that approaches us, even if it means persuading a lender to reconsider and do what they usually wouldn't.
If you have extenuating circumstances and want to explore your financing options why not give us a ring. We're here to help.