Our client – an English national with a wife and two young children – had been working for a tobacco company in Switzerland for nine months when he came to us looking to secure a mortgage of £1.125m on a UK property valued at £1.5m.
At the time, his wife and children were living in the UK, and he was commuting back and forth between the two locations on a weekly basis. They owned their UK home but felt that with the help of the additional income provided by his new job they were in a position to upsize to a larger property that could better accommodate the evolving needs of their family.
The property upon which they eventually set their sights was a 5-bedroom detached house on the edge of a sleepy hamlet in south-east England. With a healthy deposit and a substantial household income, they assumed that they were perfectly well-equipped to meet any and all requirements that a lender may demand of them, but when they approached their own bank, they found that their application was swiftly rejected. This was why they came to us.
This was a complicated case with a number of significant obstacles. Despite the fact that our client’s family was based in England and that our client travelled back home to the UK multiple times a month, most lenders considered our client an expat, which severely limited the number of lenders that we could approach. Additionally, our client was remunerated in Swiss Francs, meaning his loan would be classed as a foreign currency loan – many lenders are unhappy with this.
Even without these difficulties, our client would still have faced difficulties acquiring a mortgage, because the loan that he required was on the very edge of what any lender would have regarded as affordable given his level of income at the time. Moreover, he had only been earning this level of income for nine months; the income he had been earning previously was only a fraction of this amount.
With access to every lender on the market and strong working relationships with a wide range of building societies and banks, Private Finance’s brokers are uniquely equipped to find solutions to even the most challenging of mortgage-related problems. As already discussed, this case presented so many difficulties that it may have seemed like a hopeless case to a less experienced team of brokers.
But as a mortgage brokerage specialising in complex property finance, Private Finance’s brokers are well-acquainted with complex cases of this description. On this occasion, our broker was able to leverage this experience in order to locate those lenders that were most amenable to clients and applications of this description. Having compiled a list of such lenders, our broker then went about running the specifics of our client’s case past these lenders. A number of them were willing to offer our client a mortgage for the entire amount that he required; and in the end, we selected the lender with the most competitive rate.
We were able to secure our client a two-year fixed-rate mortgage of £1.125m at an extremely competitive rate of 1.64%.