The Ask
A broker came to us with a client who’d inherited an uninhabitable property requiring a full refurbishment, along with a rear extension and a two-storey side extension.
Planning was already in place, and the works would increase the square footage by over 33%. The property’s current value was £525,000 with a GDV of £750,000.
The client needed £210,000, structured across two drawdowns and an exit via sale.
The contractors were lined up and ready to start, and we had a maximum of 3 weeks to deliver the funds.
The Challenge
Timing was the biggest risk as the enquiry landed during a busy period when valuations can easily take over 2 weeks.
To make the deadline, we needed everyone aligned from day one, with the valuer, Monitoring Surveyor, and solicitor all ready to move quickly.
The main hold-up was the client’s solicitor going quiet for nearly two weeks after instruction, which naturally raised concerns for everyone involved and put the timeline under pressure.
The Fix
We kept the case moving regardless, issuing full credit-backed terms the same day the enquiry landed and instructing the valuation immediately. Whilst legals were turned around within 48 hours.
Three days before the client’s deadline, we provided a £210,000 regulated development loan (with x2 drawdowns) at 38% LTGDV and 13.08% per annum, over a 12-month term.
The Benefit
The client could start the works as planned, with peace of mind that the funding would land on time and with daily updates direct to the client, we kept everyone confident and informed throughout.
If your client needs a regulated light development loan quickly, get in touch with the Masthaven team today – we’re ready when you are.
