Case Study: First charge re-bridge to pay off existing lender
First Charge Re-Bridge Facility Required to Pay Off Existing Lender on a Residential Investment Property in South London with No Penalty for Early Repayment
Gross Loan Amount: £2,000,000
Market Value: £5,000,000
An existing Broker approached MFS with a new client who required a Bridging facility to discharge their existing lender.
The asset was in the heart of South London with a market value of over £5,000,000. The client required the bridging facility to pay off their existing lender with a balance of £2,000,000. With a low LTV and attractive property location, Market Financial Solutions immediately offered terms within hours of the client making contact. The Valuation was shortly instructed after the terms were issued and their Solicitors were instructed as soon as the valuation appointment was confirmed. Within 7 days MFS concluded the transaction, resulting in an extremely happy client who was impressed with the efficiency provided.
Furthermore, the client was extremely pleased that MFS do not charge a penalty for early repayment. This gave them the opportunity to redeem their loan as soon as they sell another Asset within their property portfolio, which was a more than realistic exit strategy based on the interest being generated.
Paresh Raja, pictured, CEO, Market Financial Solutions said:
“MFS looks at each Bridging Loan on a bespoke basis . Our Underwriters were able to deal with these cases fast as well as applying a transparent & common sense approach. This gives breathing space to our clients but also the added comfort that we are not going to charge them hefty penalty rates.”