Three-way transaction to secure dream home
What was the situation?
Our clients were looking to purchase a substantially larger new ‘dream’ residential home. Although they had previously been outbid on the property, fortunately for them, their competitors’ purchase had fallen through. They approached us after being offered the chance to buy the property at their original bid price if they could move quickly so the chain did not fall apart.
What was the issue?
We established the maximum loan range achievable based on their income structures (self-employed contractor) and the available funds for deposit. Unfortunately, this was not enough to meet the purchase price. They intended to release equity by selling their current home which had been on the market for a while, and with no suitors enquiring, a quick sale seemed unlikely.
What was the process?
Given the time pressure and inability to release funds through the sale of their current property, we had to look for a more creative solution. We looked at a buy to let remortgage, which would mean they would turn their current home into a buy to let. We could then use the anticipated rental income towards the affordability on the new mortgage.
Alongside this, the client also had an existing buy to let property which we were able to remortgage to release more funds.
What was the solution?
This three-way transaction allowed us to simultaneously release enough funds required for the deposit and stamp duty, whilst applying for the purchase mortgage with a separate lender. In the end, the clients purchased their dream home they had been competing for which was previously out of reach.
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Testimonials
Our happy clients
My fiancée and I were recommended to LDN Finance when we started our mortgage journey, and the service we have received, and continue to receive, has been outstanding throughout. Phil Levesley initially looked after us and made what can be a very daunting process feel straightforward and easy to understand. He took the time to explain everything clearly, never rushed us, and was always happy to answer any questions we had. Nothing ever felt like too much trouble. As part of the process, we also wanted to explore a number of protection policies, and Phil introduced us to his colleague,
As a returning customer, I would like to express my sincere thanks to the team for their outstanding support during the completion of my property purchase. In particular, Catherine and Darren have been incredibly helpful throughout the process. Their communication, professionalism, and customer service have been absolutely excellent, making the entire experience smooth and reassuring. Many thanks again for all your hard work.
Owen was absolutely amazing and supported me every step of the way throughout the mortgage process. He was always clear, patient, and incredibly reassuring, making what could have been a stressful experience feel smooth and manageable. Bharathy was also really helpful, promptly getting in touch and making sure all the relevant information was handled efficiently. I couldn’t be happier with the service and would highly recommend them both. Five stars without hesitation.
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