Shawbrook Bank provides bridging loan to support urgent auction purchase
Shawbrook has completed a bridging loan for a customer in need of short-term funding to complete an urgent auction purchase.
The bank was approached by one of its strategic partners, NM Finance just two weeks before the purchase was due to complete and overcame last-minute challenges to deliver on time for the customer.
Acting fast to overcome challenges
A valuation of the two-bedroom freehold property was required urgently, so Shawbrook worked with a valuer to ensure this went ahead without delay to enable a swift outcome.
There were also some contract issues that arose the day before completion, this presented an additional step for Shawbrook as two land transfers were required on the same day.
Shawbrook acted quickly to accommodate this with a transfer and completion of purchase between the sellers and the client, followed by a transfer and completion between the client and their company.
Shawbrook provided a £155,000, 12-month interest-only bridging loan on a 75% LTV. The customer plans to complete works on the property before refinancing onto a buy-to-let mortgage.
Shawbrook’s customer said:
“We purchased the property at auction with 28 days to complete the purchase. Both NM Finance and Shawbrook Bank delivered a tailored solution to enable the acquisition to be completed on time.
We are very impressed with this and would look to work with both parties again on future acquisitions and funding arrangements.”
Max Mace at NM Finance Ltd added:
“This was a complex case with an aggressive timeline, due to auction purchase deadlines.
As a strategic partner, we work with Shawbrook regularly, and from day one I knew this would be a good fit. It was a pleasure to work with Shawbrook, both our Regional Development Manager and the Underwriter made sure these deadlines were met.”
Gavin Seaholme, Head of Sales – Property commented:
“Working closely with our partners to overcome challenges quickly and efficiently is essential in any case, but it’s especially important with tight timescales such as these.
This is a great example of working as a team to deliver the best outcome for the customer.”