A bridging loan was put in place for the purchase of a 3-bed property secured at a discount due to a short leasehold title and the need for complete renovation. The developer directly approached several lenders themselves, but were only being offered a maximum of 55% LTV due to the short leasehold title in place. We secured terms for 75% of the purchase price, which was sufficient to enable the developer to use their own funds towards purchasing the freehold and refurbishing the property. The property was fully refurbished and converted from 3 bedrooms to 4 bedrooms. The sale of the property was agreed at £239,000, nearly double the purchase price giving a healthy profit and an 80% Return on Funds Invested – a project which would have been turned away had the 75% LTV lender not been sourced.
