Trinity Financial helped a limited company director secure a competitively priced fixed rate mortgage through a high street bank using his retained profits.
Our client had an offer accepted and wanted to secure a mortgage offer quickly because there was a tight exchange deadline.
After struggling to meet the affordability rules at some of the biggest lenders he asked Trinity to find him and his partner a mortgage.
His construction company had been trading for five years and it had a large turnover, but the money was retained in the business so his salary and dividends were not enough to borrow £600,000+.
His partner was employed but on maternity leave, although the lender accepted her return to work income to boost the application.
The couple had a property in the background they were struggling to sell, so our broker transferred the mortgage to a buy-to-let and released some of the equity to enable them to access a larger deposit.
We secured the clients a low rate without early repayment charges so they could make lump sum overpayments and have the flexibility to repay the mortgage.
Rate: 1.59% fixed until 01/10/2020
Reversion rate: The lender’s standard variable rate – currently 3.99%
The overall cost for comparison is 3.7% APRC representative.
Lender’s arrangement fee: £999
Mortgage term: 30 years
Repayment type: Capital repayment
Early repayment charge: Until 01 10 2020.
Overpayments: Up to 10% per annum.
Representative example: A mortgage of £950,000 payable over 30 years, initially on a 1.59% fixed rate until 01 October 2020 and then on a variable rate of 3.99% for the remaining 28 years, would require 24 monthly repayments of £2,152.64 followed by 336 monthly repayments of £2,885.92. The total amount repayable would be £1,021,462.23 made up of the loan amount, plus interest (£404,593.73) and fees of £999. The overall cost for comparison is 3.7% APRC representative.
The actual rate available will depend on your circumstances. Please ask for a personalised mortgage illustration.
Call Trinity Financial on 020 7016 0790 to secure a retained profits mortgage