The client approached us needing a £4.5 million mortgage facility secured against two London properties to release equity. He intended to use the funds he could release to re-structure a non UK property loan.
However, the clients income was from a mixture of employed, self employed, trust and investment income and was not, based on traditional income multiple calculations, sufficient for the loan.
Because of this variety of income sources he would be needing a 4 million pound property loan not based on income multiples or high street standard measurements of affordability.
We managed to secure a rate of 1.95% over 3 month LIBOR for 5 years with no early repayment facilities.
In order for the private bank to lend to our client, we argued the long-term benefits of a mutual relationship and managed to achieve the rate as client’s offshore trust structures were moved to the bank to be managed by their trust department as assets under management.