£1.6 million let-to-buy and new home purchase arranged for clients with US dollar income and complex residency

Trinity Financial arranged two large mortgage applications for clients remortgaging their existing home onto a buy-to-let basis while simultaneously purchasing a new residential property.

The clients were experienced homebuyers rather than first-time buyers. They wanted to keep their existing property, convert it into a buy-to-let investment and use this structure to help fund the purchase of their next home.

Their existing home and new property were both valued at more than £2.75 million, with approximately £1.3 million in secured mortgage borrowing arranged across the two properties.

What did the clients do for a living?

The husband works as Head of Distribution within a hedge fund, while his wife works as Head of Relationships for an international firm.

The husband’s role made the mortgage application more complicated because he worked between the UK and Egypt and was paid in US dollars. This created a challenge for many lenders, as they needed to decide whether to treat him as a UK resident borrower or an expatriate applicant.

Why was the mortgage case complex?

The clients needed two mortgages at the same time: a let-to-buy remortgage on their existing home and a residential mortgage for the new property.

Their circumstances were complex because:

• The husband worked between the UK and Egypt.
• Part of the household income was paid in US dollars.
• Some lenders were unsure whether to assess the husband as UK resident or expatriate.
• The clients needed large mortgage amounts.
• They required both buy-to-let and residential mortgage approvals.
• Previous brokers had been unable to place the case.

Although the clients were not in an immediate rush, there was pressure from the vendors to get both mortgage applications approved as quickly as possible. Having both offers agreed gave the sellers confidence that the purchase could proceed.

Why did the clients contact Trinity Financial?

The clients found Trinity Financial online after previous brokers were unable to help.

They needed specialist mortgage advice because their income, residency position and borrowing requirements limited the number of lenders willing to consider the applications. Many mainstream lenders either struggled with the US dollar income, the overseas working arrangement or the size of the loans required.

Trinity Financial’s brokers reviewed the clients’ full circumstances and approached lenders able to consider both the let-to-buy remortgage and the onward purchase.

What was the mortgage solution? 

Trinity Financial arranged the let-to-buy mortgage with a building society and the new residential purchase mortgage with a big bank. The combined mortgage borrowing was around £1.6 million.

The building society mortgage was arranged on an interest-only basis for the let-to-buy property. The rate was below 5.6%, which was competitive given the clients’ complex circumstances and the size of the mortgage required.

The larger mortgage for the new home purchase was arranged on a capital repayment basis. The rate was below 4.7%, which was particularly strong for clients with a more complex income and residency profile.

How long did the mortgage offers take?

Both mortgage offers were issued within approximately six to eight weeks.

This was a good outcome given the number of moving parts involved, including two separate mortgage applications, large loan sizes, foreign-currency income, overseas working arrangements, and the need to satisfy lender underwriting requirements. As well as meet money laundering rules due to links to different countries. 

What was the outcome?

Trinity Financial secured both mortgage offers, allowing the clients to remortgage their existing home as a buy-to-let property and proceed with the purchase of their new main residence.

The case shows how important specialist advice can be for borrowers with high-value properties, complex income, overseas working arrangements or foreign currency earnings.

Speak to Trinity Financial about let-to-buy and complex income mortgages

Trinity Financial’s brokers regularly arrange mortgages for clients with complex income, foreign currency earnings, overseas working arrangements, large loans and let-to-buy requirements.

If you are remortgaging your current home onto a buy-to-let basis and buying a new property, or you are paid in US dollars or work partly overseas, our brokers can check which lenders are most likely to consider your application.

Call Trinity Financial on 020 7016 0790 to secure a fixed or tracker rate mortgage, book a consultation, or use our appointment calendar

The information contained within was correct at the time of publication but is subject to change. It is for general information purposes and is not advice.

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