We love helping our clients achieve their vision, no matter how big or small. Here’s a recent example of one that’s a bit larger than usual!
High LTV on £3.5m purchase for sports professional:
This client is a young sports professional who recently relocated after moving clubs. After months of renting, he found his dream home and came to us for help in securing it. One hurdle was that he wanted to put down as little deposit as possible so he could invest in buy-to-let properties and investment funds, as recommended by his Wealth Adviser.
As the purchase price was £3.5m and the client only wanted to put down a 5% deposit, putting some of the loan on interest-only, we had to use a private bank. The client liked the idea of bullet overpayments on an interest-only to manage monthly cashflow.
Commonly, for sports professionals, mainstream lenders will either do the mortgage term to age 35, or for the term of the player’s contract. Using our knowledge in this sector and the way the deal was presented to the private bank, the lender was happy to go past the player’s contract length by an extra 3 years, put a large amount on interest-only and achieve a fixed rate for the first two years of the mortgage, allowing him peace of mind on payments. Within the first two years, the client will make large overpayments to bring his loan to value down.
The client was delighted with the outcome and that his goals were achieved – putting down as little deposit as possible and placing a large sum of the mortgage onto interest only, which still allows him to invest elsewhere. And we’re thrilled to have just helped another client secure their dream home.
Disclaimer: the home pictured is for illustrative purposes only and does not represent the actual property purchased.