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kirsty_c

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  1. Like
    kirsty_c reacted to Stuart Phillips in What’s a reasonable bridging loan rate at the moment?   
    @Simon Allen at Searchlight, @kirsty_c at Real Finance both know their stuff and you are welcome to drop me a PM of course.
  2. Haha
    kirsty_c reacted to Stuart Phillips in Fee Free Mortgage Brokers   
    Obviously im the best mortgage broker in the land
  3. Like
    kirsty_c got a reaction from djpix99 in Semi-commercial mortgage questions   
    If you are after 75% LTV on semi commercial there are not that many options out there, especially if the commercial value is over 40% of the security. 
    Interest only is available with some lenders. 
    Empty should be fine on a purchase, providing there is letting demand in the location and it is in lettable condition, ready to market and start generating income post purchase. 
    Usage can affect decisioning also - there is reduced appetite to assist if the commercial is a cafe/food/takeaway business. 
    Commercial is a totally different lending area which has its own specialties and different risks altogether which most regular BTL funders are simply not geared up to accommodate. Some mitigate that risk and lack of commercial appetite by offering semi commercial products but have the 60/40 rule, which is based on ignoring the commercial part altogether and the residential part covering the debt servicing requirements alone.
    Rates in the 5-6% region should be expected at 75% at the values you mentioned. Rates naturally increase when higher leverages are requested and 75% is at the top end of product offerings in this sector. 
    Happy to assist you with this if you have a target property in mind, feel free to reach out and I will run through available options with you. 
     
     
     
  4. Like
    kirsty_c got a reaction from EvolutionBlogger in Remortgaging to raise funds   
    Or maybe this is Barclays policy, but you got lucky that someone didn't ask  Was your LTV low by any chance? if so maybe the requirements are more relaxed. 
    I'm aware its policy with many lenders and having worked in underwriting teams it doesn't sound like the kind of condition an underwriter would put in just to get comfortable approving. 
     
     
  5. Like
    kirsty_c reacted to EvolutionBlogger in Remortgaging to raise funds   
    It was low LTV (under 50%). I think that made the difference
  6. Like
    kirsty_c reacted to stevewalker in Broker Fee for 2nd BTL Application   
    I think you will find there is a little bit more to being a broker than acting as a proxy
    He/she should do a fact find, check its still the best deal and then have to gather all the information, load it to the lenders system and act as a go between for every single query.
    And that assuming its a straight forward case
    The member who has a broker doing this for £100 a time has a cracking deal.
    If your mortgage is a chunky amount you might have some room to bargain but if its a small mortgage circa £100K or less I reckon £100 is more than fair.
     
  7. Thanks
    kirsty_c got a reaction from tinashe in Spv or personal 3 homes for kids!   
    The main advantage of investing in property via a company structure is the ability to deduct mortgage interest from profits which you can no longer do in a personal capacity since this was stepped down. 
    I think through that this is too broad a question to cover in generic terms as the answer can vary greatly depending on your overall financial circumstances.
    Its more a question that should be put to your accountant (make sure he/she is a Certified Tax Adviser (CTA) as not all accountants are) who will be able to advise on any tax implications and benefits of choosing a company structure vs personal names and also the factors to consider once ownership is eventually transferred to your kids later down the line. 
    Regards, Kirsty
  8. Like
    kirsty_c got a reaction from afcbbroker in House Rejected for Mortgage (fully functioning bathroom & kitchen but in need of renovation)   
    If your current broker is suggesting that limited company mortgages are niche or too complex then it may be time to find a new broker. 
    Since the tax rules of recent years no longer allow mortgage interest to be deducted as a property expense in personal names, many landlords have switched over to a company structure to take advantage of the more favourable tax treatment in limited companies. Most lenders in the BTL space cater for applications in both personal names and limited companies although sometimes the limited rates are a little higher. 
    With regards your original post, you are essentially expecting a BTL lender to fund a refurbishment project and if visiting surveyors deem the property unmortgageable then BTL lenders are unlikely to support as yug222011 said above. 
    The appetite of BTL lenders is towards assets which are ready to let and ready to move tenants straight in. A property sat empty and inhabitable is not producing income (BTL lenders expect the asset to be generating income to service its loan repayment expenditure) and is harder to sell on if they had to repossess which weakens the lenders security position.
    If you have the ability to do a cash purchase could you not do this, carry out the refurb works and then remortgage to replenish the cash spent once the property is up to scratch?
    Your alternative is a bridge, or a bridge to let product as was suggested above. 
    Regards
    Kirsty
     
  9. Thanks
    kirsty_c got a reaction from Kylelockhart in Additional Borrowing - interest only or repayment?   
    Hi Kyle
    Repayment & Interest will reduce the loan balance of the second loan over time, the repayments will be higher. 
    Interest Only will not reduce the second loan over time, the repayments will comprise only interest and be cheaper. 
    Lenders generally aren't that keen on offering interest only mortgages on a main residence unless you meet some pretty strict criteria, however if the lender is offering you the choice then it really is up to you and which of the above is more suited to what you are trying to achieve.
     
     
     
  10. Like
    kirsty_c got a reaction from russiansergey in Mortgage   
    My experience is also that 3-6months will be requested. 
    If its a basic salary increase the lenders should happily accept your new salary as the new base point as this will be the income which applies moving forward. You could forward some documents confirming your pay increase with the payslips. 
  11. Thanks
    kirsty_c got a reaction from EvolutionBlogger in Mortgage   
    My experience is also that 3-6months will be requested. 
    If its a basic salary increase the lenders should happily accept your new salary as the new base point as this will be the income which applies moving forward. You could forward some documents confirming your pay increase with the payslips. 
  12. Thanks
    kirsty_c reacted to ryan_brown in Underfloor heating - is it a viable option for HMO's instead of radiators?   
    If you are talking about LTHW underfloor heating, and environmental performance is your main goal, you could also consider an air source heat pump. Always better to reduce consumption before offsetting. You may also benefit from the renewable heat incentive, making it more financially viable.
    Also check if your utility company generates their renewable electricity or if it just buys the certificates. By choosing the right company you are increasing demand for renewable capacity, rather than certificates.
    Assuming your building is already well insulated and air tight, ASHP's pair well with underfloor heating and offer a much higher COP compared to conventional boilers. Although you may also need a hot water cylinder if it's a larger property!
  13. Thanks
    kirsty_c reacted to vapourium_icloud_com in What interest rate on this BTL mortgage?   
    Hi I’ve only just noticed this was in the brokers email back then, (PLEASE SEE PHOTO)
    so you hit the nail on the head, I didn’t realise that even mortgage brokers “specialised” , so therefore I am looking for a good broker who can help me with my first mixed use property.  Now there’s a bit more of a complication or it might be to my advantage ?  I’m sure you’ll let me know... although I bought the property with separate tenants renting the shop and the flat, so therefore the whole building was bringing in rather good rental income combined, the situation has changed with the shop tenant vacating at the end of their lease last month.
     
     Now I did buy this shop as I’m actually renting another shop 10 doors down...  sooooo.., I’m assuming no one will lend to me whilst it’s vacant ? But what if I moved my established business into my shop ?  Will that change things somewhat from the lenders point of view or not ?  As I won’t of course be paying rent to my own company now will I !!!  Thing is that confuses me a tad is that Barclays (a couple of years ago) would ONLY lend to me if I was owner-occupier.
    thanks you, maybe you could run me some figures Kirsty ?  Thanks Lisa 
  14. Like
    kirsty_c got a reaction from Simon Allen in What interest rate on this BTL mortgage?   
    I think the main issue with answering the question is that you doing the reverse of what a broker would. 
    A broker first assesses your whole circumstances, then uses contacts and experience to steer towards lenders who will work with your situation, and then will show you the best rates and deals which accommodate your requirements. 
    The problem with rate chasing first is it gets painful when it becomes apparent that you don't meet specific criteria of the product you are targeting and have to keep changing direction and trying another. There's lots of lenders out there with hundreds of products and they all have appetite to assist different scenarios. Its very rare a case is totally vanilla and simple, all have their own quirks. From the information you provided it appears you may not qualify for some lenders due to your income structure.. but without knowing the full picture and what your tax returns show etc, its hard to comment further.
    As you have engaged 3 brokers already it would make sense that you stick with one, provide your information and ask them to show you what deals are available to you.
    Regards
    Kirsty
     
     
     
  15. Like
    kirsty_c got a reaction from hennnerz_gmail_com in What interest rate on this BTL mortgage?   
    The reason you haven't had much response on this post from the many brokers on here is because there simply isn't enough information provided to give a sensible answer.
    I wouldn't be doing a very good job as a broker by giving you rates based on the limited information you provided - I would need to understand more about you and the property to see which products and lenders would assist. 
    Vin took the time to reply to you above and attempted to ascertain some key points which would determine if you fit mainstream products or would need a lender with a more flexible approach so I think your reply to him is a little harsh. 
    We could all post headline rates, however once you present your circumstances and full details of the asset you may not actually qualify for any of those lenders/products. 
    Personally I would stick with the advice of one of the brokers you have approached as finding the right solution is going to require you to provide full information, and it wouldn't be appropriate to do this in a public forum post anyway. 
    Regards
    Kirsty
     
     
  16. Thanks
    kirsty_c got a reaction from EvolutionBlogger in What interest rate on this BTL mortgage?   
    The reason you haven't had much response on this post from the many brokers on here is because there simply isn't enough information provided to give a sensible answer.
    I wouldn't be doing a very good job as a broker by giving you rates based on the limited information you provided - I would need to understand more about you and the property to see which products and lenders would assist. 
    Vin took the time to reply to you above and attempted to ascertain some key points which would determine if you fit mainstream products or would need a lender with a more flexible approach so I think your reply to him is a little harsh. 
    We could all post headline rates, however once you present your circumstances and full details of the asset you may not actually qualify for any of those lenders/products. 
    Personally I would stick with the advice of one of the brokers you have approached as finding the right solution is going to require you to provide full information, and it wouldn't be appropriate to do this in a public forum post anyway. 
    Regards
    Kirsty
     
     
  17. Like
    kirsty_c got a reaction from joni in BTL mortgage at 70?   
    Many lenders will look at max age 80 or 85 at end of term and some don't have a maximum. Would have to review all the case to make sure other criteria requirements stack up but age 70 shouldnt be a reason your parents cannot apply for the same products as you. 
    Regards
    Kirsty
  18. Thanks
    kirsty_c got a reaction from ArjunB in Changing a title   
    I think you will struggle to get consent as most BTL products are set up and risk priced for simple rental investment use. The lender will not take kindly to a development site on the garden of their security, especially for two properties - things can go wrong, and it would affect their ability to easily put the properties to auction to recover their funds if needed. 
    I have been involved in similar transactions where a client would for example purchase a property with a large garden with a view to building another house on the side land.
    Initially purchased via bridging finance and the applied for planning. Post planning approval they installed a physical boundary to reduce the garden of the original house and then approached a BTL lender offering the asset with a reduced garden. The title boundaries would be amended in legals to exclude the proposed building plot which would then have its own new unencumbered title created post BTL refinance. This way the BTL lender is happy and your unencumbered land is free to develop without  BTL lender restrictions (you still need planning of course).
    You need to factor in that when the smaller BTL plot is revalued it will be worth less  - meaning you may have to put some more cash in to the refinance exercise to make the overall deal work.
    You could then apply for development finance on the unencumbered plot but again you will need some capital input towards this. 
    Hope this gives an idea of how this sort of deal can be done. 
    K
     
  19. Like
    kirsty_c reacted to Stuart Phillips in Top bridging finance brokers   
    Try @simon allen at Searchlight Finance and @kirsty_c at Real Finance, they both know their stuff and have the all access to this market that you need.
  20. Like
    kirsty_c got a reaction from tabs_s-s in Residential property title split   
    Santander will not want to give the consent or partial release as your plans could affect and will most likely devalue their current security position up until the point the new build is completed. High street banks like vanilla and simple mortgage transactions and reducing the land size within the title and having a construction site in the garden of their security is not going to be sit well with their appetite. 
    You could draw up your proposed title split plans with a lawyer, apply for a remortgage with a new lender making clear in your application that the security they will be taking would be only the main house (on title split A).
    At some point in this process you will have to have a valuation done on the Split A to establish the adjusted value - post split your property will be sat on a smaller plot and have another new building closeby. Depending what your current LTV is, this may also affect what deal you are getting when the value is adjusted down. 
    Once the remortgage completes and repays Santander, this would leave the portion of land you want to begin works upon (Split B ) free and unencumbered.
    You say you have explored some finance options that weren't competitive? What is your idea of a competitive rate out of interest? (You mentioned wanting the 'same' deal but havent mentioned what deal or rates?) Bear in mind, pricing is reflective of risk and your proposals are putting you into development territory rather than vanilla mortgage lending on a simple asset. You may have to accept that you can't be picky on rates to get this done as some vanilla lenders (who tend to give the better rates) wont like the proposed development happening next to their security property (think if the bank has to repossess and sell your house, its going to be a harder sell if theres a building site in the garden)
  21. Like
    kirsty_c reacted to joelpalmer89_gmail_com in Residential property title split   
    Thank you Kirtsy that is super useful and is much clearly explained to what i have received so far. I think i need to alter my expectations that like most i want the best rate, however i am looking for a non straight forward mortgage.
     
    Thanks for your input 
  22. Haha
    kirsty_c reacted to Stuart Phillips in Is there a portal with BTL mortgages?   
    Not really. The software we use requires you to be FCA registered.
    Im sure your broker would love having to explain to you why every product you found online isnt suitable though. You might very quickly fall on the wrong side of the 80:20 rule and find your calls dont get answered as quickly...! Just sayin' :-)
  23. Like
    kirsty_c got a reaction from Stuart Phillips in Choosing a Mortgage Broker: High st. / Online   
    Excellent post above and very insightful of the undesirable practices within estate agencies! Shocking what goes on really in some firms. Thanks for sharing that Stuart. 
    When you engage a broker you are making use of their experience, knowledge and industry contacts. 
    Stuart has covered very well the difference between the mass firms and quality brokers. To add another line of thought, myself and all the individuals within our firm are ex senior bankers with many years experience of structuring all sorts of transactions. Prior to my business banking days I worked in credit underwriting in a major UK bank which gave me first hand experience of how decisions are made and what makes lenders comfortable to approve cases.
    Now working as a broker this knowledge and background proves very useful to best present cases on behalf of clients.
    I'm echoing Stuart again, but if its a straightforward deal and you meet all criteria, the skill-sets of specialist and experienced brokers will not be drawn upon as you would likely qualify for most products available in the market anyhow. 
    Hope we have both managed to give you an insight of where brokers add value to a transaction. 
    Regards, Kirsty
     
  24. Like
    kirsty_c got a reaction from N-Smith in Mortgage Advisor Required   
    Hi Lee
    Would be happy to assist if you want to reach out. 
    Contact details are below. 
    Regards, 
    Kirsty
  25. Like
    kirsty_c got a reaction from N-Smith in Funding Advice/Help   
    Hi Dan
    Happy to be proven wrong but I dont think you will find a lender willing to give anywhere near 100% lend, especially at this current time given the COVID-19 scenario has created a lot of general financial uncertainty. Most lenders i am working with are proceeding with caution and slowly reopening their pre COVID product ranges which are topping out at 75% as their maximum LTV.
    Even prior to COVID over 85% lending on BTL was pretty much unheard of.. lenders need some comfort that they can repossess and sell quickly should they need to enforce their charge to recover debt and obviously get less comfortable the higher you take the LTV where you will find the rates are higher and criteria is stricter. 
    The limited company setup wouldnt be an issue. Limited company SPV structures for BTL are popular given the more favourable tax treatment since the rules were changed a few years ago. You would simply inject personal funds into the company which would form the deposit for any property you go on to purchase. These injected funds would show as a directors loan in the company accounts.
    Of course you need to have the personal funds in the first place to do this so it may be that you have to wait until your current property has been sold to progress your next plans.
     
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