Case Study: Buy to Let Secured Loan


James RainbirdWe caught up with James Rainbird, Managing Director at Pink Pig Loans who told us about a recent buy to let secured loan:

“Here at Pink Pig Limited we received a joint application requesting a £100k secured loan on a Buy to Let property situated in the lovely London location of Notting Hill. The application was to carry out full consolidation which would benefit the applicants substantially each month and allow some home improvements to the property to take place.

The security itself was valued at £850k placing the LTV at an extremely low 35%. The rental income on the property by far supported the mortgage and new loan payment whilst still leaving a substantial profit to be made.

There were a couple of stumbling blocks that the applicants came across when looking to raise these funds. They are on an extremely attractive fixed rate with their current mortgage lender which would not benefit the applicants to move away from this and re mortgage. Also, one of the applicants did not currently reside within the UK and neither applicant had a residential mortgage in place hence not meeting the lenders standard criteria.

Seeing all of the merits, we quickly made contact with Shawbrook to put the case forward knowing that they would take all these factors into account when reviewing their decision to lend. The loan size was also something we wanted to discuss with Shawbrook as this is usually capped at £75k on a BTL however, a loan of £100k would enhance their financial position through consolidation and allow them to carry out the work to the property.”

Maeve Ward, Head of Sales, Shawbrook Bank commented:

‘After taking all the factors above into careful consideration on this case, Shawbrook were happy to lend due to the strong case merits. The relationship of these applicants is mother and daughter with the daughter residing with a family member in the same block of flats as to that of the security property therefore, Shawbrook were happy that contact with our customers would remain in place.

In regards to the agreed increased loan size, not only do the applicants have strong rental cover on this property but in the background have a substantial level of income should they require it.

The high credit score and A1 paid credit of the applicants coupled with the strong security location, low LTV, placing the applicants in a stronger financial position and enhancing the property through home improvements was more than enough for Shawbrook to take the common sense approach to lend within these circumstances.’

James Rainbird, Pink Pig Loans added:

‘The clients were over the moon after being turned down elsewhere, due to the application being outside of criteria. They could now start to relax as there was the option for them to take out the secured loan.

Thanks to the clients getting everything back to us quickly, our team of experienced underwriters here at Pink Pig and at Shawbrook, the application process went very smoothly from start to finish & quickly completed for the clients.’


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