Case study: Masthaven closes bridging loan in 10 days during crisis

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Masthaven Bank has closed a bridging loan during the ongoing coronavirus crisis in just 10 days, enabling the customer to help finance her son’s property purchase.
Masthaven’s customer, Sarah Howard, had wanted to use the funds from the sale of an inherited property to help her son buy a new home.  Sarah’s inherited property was subject to probate, which led to a delay in its sale. As the UK was on the cusp of lockdown and Sarah’s son was under pressure to complete on his purchase, Sarah sought the advice of a financial adviser who recommended a bridging loan and referred her to Laybourne, a specialist property brokerage.
After discussing her options with Liam Keighley, a director at Laybourne, an application was submitted for a bridging loan via Masthaven’s broker portal – a tech platform launched by Masthaven for the short-term market in February.
Masthaven reviewed the case and worked with the broker to close the deal within 10 working days of receiving the application, and within just six days of receipt of the valuation report.
Liam Keighley, Laybourne said:
“I logged onto Masthaven’s broker portal, inputted the client’s details and had a DIP back almost immediately. Masthaven sent instructions on how to pay the valuation, and I was then updated at every step of the case by Masthaven’s underwriter regarding the case’s progression and everything else required keep it moving.
“Despite being in the middle of a pandemic, Masthaven proactively kept me updated to reassure me that the case was progressing without issue. It was seamless, fast and straightforward - Masthaven was brilliant and the customer was over the moon because we could complete to her tight deadline. It’s so important that our clients experience a smooth journey to accessing finance – we take pride in that.”
Commenting on Masthaven’s short-term broker portal, Liam added:
“A lot of lenders talk about technology, but it can have faults and often needs human intervention.  Masthaven’s portal was straightforward, easy to use and delivered what it was meant to.”
Sarah Howard, the customer, said:
“I wanted to help my son buy a house using funds from the sale of an inherited property.  However, due to delays with that process and the COVID-19 pandemic adding time pressure to his move, I needed to change the approach. Following financial advice, I decided to apply for a bridging loan, and between Laybourne and Masthaven the process couldn’t have been simpler. There were some hurdles to overcome along the way but the Masthaven team worked to ensure we got the finance through within a very tight timeframe. They were courteous and efficient throughout the process. We very pleased with the end result.”
Alan Margolis, director of bridging at Masthaven Bank said:
“We are happy to have been able to support Sarah with her bridging loan, especially during the crisis. Coronavirus put much of the market on temporary hold, but we have seen a positive level of bridging activity over the past few months. Masthaven is open for business, working with our intermediary partners to ensure customers have access to a variety of specialist finance options to meet their needs.”
Masthaven recently announced it would be accepting desktop AVMs on bridging finance cases up to 60% LTV (previously the limit was 50%) and has increased the maximum loan amount from £500,000 to £1m on single or multiple properties. The specialist lender introduced AVMs for the first time this year on first charge residential purchases, buy-to-let remortgages and buy-to-let purchases.
About Masthaven Bank
Masthaven launched as a retail bank in 2016 and offers award-winning saving and lending products. Prior to that, Masthaven Finance has provided a flexible and personalised approach to bridging loans and secured lending since 2004.
Today, the bank’s knowledgeable and experienced specialists are committed to providing customers with flexible and fixed term savings accounts, bridging loans, development finance and mortgages.
Masthaven was recognised as 2019’s Most Innovative Digital Retail Bank UK by CFI, the second consecutive win for the category. Masthaven won Best Second Charge Mortgage Lender in the Your Mortgage Awards 2018/19 and Customer Service of the Year in the Money Age Mortgage Awards in 2019. It was also awarded Best Specialist Lender in the Moneynet Personal Finance Awards 2019. Masthaven Finance has featured in 2015’s The Sunday Times’ Virgin Fast Track 100 (at number 81) and the bank ranked 240 in Financial Times’ FT1000 list published in 2017.
The bank is regulated by the Financial Conduct Authority and Prudential Regulation Authority.
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Tom Reeder
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