COMPLETING A PRECISE 'BRIDGE'-TO-LET IN JUST 17 DAYS
Crystal Specialist Finance recently finalised a Precise Mortgages’ Bridge-to-Let product case, completing the application from start-to-finish in just 17 working days.
The product is designed to help landlords maximise rental yields by refurbishing the target property before they rent it out, bringing together the flexibility of bridging finance with an exit onto a long-term buy-to-let mortgage once the work has been completed. No mortgage repayments are required whilst the refurbishment works are being completed.
In this instance the client initially borrowed a gross loan of £197,453 against a purchase price of £276,000 and will spend around £15,500 on a complete refit. The post-work valuation is expected to come in around £325,000 so when the work is completed within the next six months the finance will move onto a buy-to-let term with a pre-agreed offer of £243,750 (75% LTV).
The property is expected to bring in £1,150 per month with repayments of £717.53, so creating a surplus of over £5,189 pa for the client.