Mortgage Finance For A Client With Complex Income & Multi-Title Property

What was the situation?

Our client, a UK national working as a professional for a large American technology firm, approached us with a specific requirement: they wanted to purchase a new main residence before selling their current property.

The property in question was a large family home featuring 10 acres of land and several outbuildings, spread across four separate titles. The client was seeking 60% loan to value (LTV) to facilitate this purchase, allowing them to secure their dream home without the pressure of having to sell first, in what was proving to be a challenging market.

What was the issue?

The client faced significant hurdles in securing financing through traditional channels. The property’s complexity, namely being registered on four separate titles, created immediate complications for most lenders who prefer straightforward, single-title transactions.

Additionally, the client’s income structure proved challenging for mainstream lenders to assess. Whilst the client held a senior position at their firm, their compensation package was weighted heavily towards equity. Their basic salary and cash bonus elements were relatively modest, with the majority of their substantial income derived from vested shares paid in USD.

This combination of property complexity and non-standard income structure meant that high street lenders were reluctant to proceed, ultimately pushing the application towards specialist lenders with significantly higher rates and fees. However, we were determined to find a more cost-efficient solution.

What was the process?

Understanding the unique challenges the case presented, we leveraged our extensive network of lender relationships and deep market knowledge to find a solution. We carefully analysed the client’s total compensation package, working to present their equity-based income in a format that lenders could properly assess and understand.

Our approach involved detailed preparation of documentation that clearly demonstrated the client’s true earning capacity and the stability of their income stream. We then utilised our strong relationships with major lenders to engage in detailed discussions about the case, ensuring they understood both the property’s potential and the client’s genuine ability to service the debt.

Our experience with complex cases meant we could anticipate potential concerns and address them proactively.

What was the solution?

We successfully secured a 60% loan-to-value (LTV) mortgage with a major high street lender, structured as a two-year fixed rate product on an interest-only basis.

This solution was particularly beneficial as it minimised the client’s monthly payments during the initial period, providing him with maximum flexibility whilst they retained their current property. The interest-only structure also allowed them to take advantage of overpayment opportunities when the client’s share options vested, giving them control over their repayment strategy.

The client was delighted with the outcome, particularly appreciating that we had secured high street lending terms rather than pushing them towards more expensive specialist finance. This approach saved them a significant amount of money in both interest rates and arrangement fees, whilst the flexible structure meant they could proceed with confidence, knowing their monthly commitments remained manageable throughout the transition period.

High-value lending solutions with LDN Finance

Are you looking to purchase a new property but have a complex income structure? We’re here to help you find a solution – no matter how complex your circumstances. At LDN Finance, our specialist brokers have extensive experience in providing creative solutions to secure large loans for our clients.

We work closely with our trusted network of private banks and both high street and specialist lenders to arrange bespoke mortgage arrangements to suit your circumstances at competitive, market-leading rates. 

Get in touch with us to organise an initial consultation.