Bridging loan to buy a second rental property

Area
Slough
Capital Raised
£50K

Every property portfolio starts with a first investment, which - if leveraged intelligently - can provide the finance for further purchases. 

The Scenario

Our London business-partner clients chose as their first investment property a fully-fitted apartment in a new office block conversion in Slough, valued very affordably at £200K.

They bought it unencumbered, with the proceeds of a company sale.

Three years later they were planning to buy their second buy-to-let, in Ealing for £320K. It was another office-conversion apartment being sold off-plan, and they wanted to raise £50K against the current £220K valuation of their first flat, to pay the second (final) instalment on this purchase.

The Solution

We needed to work within the developer’s strict deadlines: second payment was required within 15 working days.

We were looking at lenders who would offer the most favourable rates on a 75% LTV, and who also offered a drive-by valuation, which saves time and fees.

The bridge finance was arranged at a good rate of 0.95%, with the agreed exit a buy to let (BTL) mortgage arranged on the original flat, and the funds in our clients’ account within the 15 days.

They’re also planning to refinance this second property on a BTL.

This is a modest loan amount, which many brokers wouldn’t be able to consider handling, but we view this as a partnership with a growing investment portfolio.

Mathew Phillips

Finance Broker

Bristol

0117 959 5094

Are you in a similar situation? I specialise in bridging finance at Clifton Private Finance - I will find you the best funding solution for your property transaction.

Alex Chambers

Senior Finance Broker

Bristol

0117 403 4324

Are you in a similar situation? I am a specialist in residential and investment property finance for UK and international clients at Clifton Private Finance. Please don't hesitate to get in touch for a no-cost discussion of the finance you need.

Luther Yeates

Finance Broker

Bristol

0117 244 5561

Are you looking for a similar type of property finance? I have extensive experience finding residential and investment property finance for UK and international clients. Please get in touch and we can arrange to discuss your situation at any time that's convenient for you.

James Palmer

Senior Associate

London

0203 900 4322

Are you looking for similar property finance? I specialise in development and commercial finance for Clifton - I can find creative and commercially effective solutions for your project.

Sam ONeill

Senior Finance Broker

Bristol

0117 959 5094

Is your situation similar? I am a bridging finance specialist at Clifton. I can find a quick, cost-effective solution for the funding you're looking for.

Robert Gibb

Senior Finance Broker

Bristol

0117 959 5094

Are you looking for mortgage or short-term finance for residential or buy-to-let property (including HMOs)? I have extensive experience in finding property finance solutions for UK and international clients, both as individuals and limited companies. Please give me a call and let me see what I can do for you.

Adam Arnott

Associate Director

Bristol

0117 205 0214

Is your situation similar to this? I have extensive experience of advising clients who need creative property finance solutions. Please get in touch and we can arrange a time that suits you for a detailed discussion of your requirements.

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