Giving you a helping hand to meet your client's needs.
Mr & Mrs M were looking to purchase a new family home which had a smaller cottage in the grounds for a holiday-let.
Both properties were on the same freehold title with a purchase price of £565,000. A loan of £385,000 was required. The new property was only 10 miles from Mr M’s place of employment who continued with his job while his wife oversaw the holiday-let.
There was only one problem: many lenders don’t accept properties with two kitchens or mixed use.
What happened next?
We were approached and were happy to lend to Mr M as his income was sufficient to support the loan. The rental income from the cottage of £14,500 was in effect a bonus and not needed for affordability.
- We are happy to consider lending where there are two or more units on the same title. It’s not uncommon to have an outbuilding that’s been converted into living accommodation or for an annex to have been added
- The converted outbuilding or annex can be for use by the immediate family, let on an AST or used for holiday-lets
- Affordability assessed using the applicants income from employment
- We will not take annexe income into consideration – the mortgage holder has to afford it in their own right – based solely on income of the person in the main residence
- Semi commercial
- Barn renovations
- New builds
- No credit scoring – all cases are assessed on individual merit
- Tailored underwriting with each case individually considered
- All types of income are considered
- A dedicated helpdesk open Monday to Friday, 9am - 5pm
For further information, contact us.