In this case study, we explore a property finance scenario involving a large, detached house in North Yorkshire. The property has a high market value, and the homeowner is seeking a 2nd charge bridge on the property to address various financial needs.
The Basics
Location: North Yorkshire
Property Value: £2,250,000
Loan type: Second Charge Bridge
Initial Gross Loan: £903,000
Gross LTV: 60%
Interest Rate: 1%
Property Description
The subject property is a spacious, three-story detached house featuring five bedrooms. It sits on a sizeable plot with a driveway that leads to a detached two-story garage with a double garage on the ground floor and office accommodation on the first floor.
The property boasts gardens to the front, side, and rear, providing ample outdoor space for relaxation and recreation.
The detached double garage includes a WC on the ground floor and stairs leading to the first floor. The first floor features an open-plan room currently utilised as an office, complete with a kitchenette area.
Client's Financial Requirements
The client wishes to secure a second charge on their home for the following purposes:
Repayment of an existing second charge with another lender
Repayment of a private lender
Cover legal fees related to the client's business
Exit Strategies
The client has two potential exit strategies in mind:
1. Sale of the Home: If circumstances necessitate, the client may choose to sell the property to repay the second charge.
2. Sale of the Business: Alternatively, the client may opt to sell their business to meet their financial obligations.
This case study highlights a property finance scenario where a homeowner in North Yorkshire seeks a second charge on their valuable property to address existing debts and business-related legal fees. The property's unique features and excellent market value offer various options for securing the required financing. The client also has well-defined exit strategies in place to ensure financial security.