Case Study: How expert underwriting saved a tricky bridge and completed in just 17 days!

Bridging finance can be great solution for borrowers who need finance temporarily and quickly to support growing businesses and property portfolios. West One are committed to a common-sense approach to lending and the underwriting team have a 'want to lend approach'. In this instance flexibility and experience saved the deal.  

  • Product
    Bridging Loans
  • Loan amount
    £470,000
  • LTV
    59%
  • Rate
    0.99%
  • Loan term 
    12 months
  • Application to completion time
    17 days

The Client

Individual looking needing bridging due to slow property sale.

The client needed the bridge to repay an ISA that was withdrawn to purchase a new residential - the client was due to replenish this with the sale of her old main residence, however, this sale has dragged on longer than anticipated and will not be completed before the end of the tax year (5th April). The consequence of not replenishing the ISA before the end of the tax year she will lose the benefit of that ISA, the long-term consequences of this would be detrimental to the client.

The sale of residential was taking longer than anticipated, hence needing bridge. Other BTLs, being sold didn't have probate granted so these could not be used as security.

Finally, a third-party charge on the security relating to the previous vendor hadn't been removed after the client bought and there were lots of legal issues to handle. 

Lots of communication! The broker needed the deal restructured on multiple occasions due to the complexities of the legal in the background. The underwriting team were open and flexible and worked with speed between all parties to find control of the deal. 

They were able to get specific undertakings from the borrowers' solicitor relating to the charge on the security that should have been removed. Also, a second undertaking relating to the BTL which is due to be inherited once probate is granted.

Without the constant communication between underwriting, the broker and the client's IFA, the deal may have fallen through. Having the knowledge of the valuations and using this to allow some flexibility outside of criteria saved the deal. Using a lender who has excellent relationships with 3rd party professionals means that cases requiring speed are our bread and butter.

Result

The borrower and the broker were delighted with the flexibility provided to get the deal done within the time. The case was completed in a rapid 17 days despite the complexities. The broker commented:

"The team demonstrated incredible initiative and seemed to be working with us the entire time to conjure a solution when roadblocks stumbled in our way, between Nathan and Paul, it made working with West One on a very tricky case really quite stress-free. The loan was re-structured at request four times when certain matters cropped up in the legal proceedings which hindered us from using certain security due to implications in the borrower's late husbands' will, and West One were even able to take a flexible approach on their criteria due to Nathan's relationship with Head of RIsh and access to a partner at Graphene - to not enforce equitable charges on the assets which formed part of the exit when they come to sell. All in all, I have full faith that we could not have got this outcome from other lenders, West One were happy to pick up the phone without an introducer who deals with the customer's wealth management to ask queries, and even pick up the phone with the borrower's solicitor directly to present a solution to Graphene.