The Client Background
A broker approached Positive Lending on behalf of a client who needed to refinance an existing £1,532,941.99 bridging loan.
The client required a new short-term facility to repay the existing finance, while also raising additional funds to cover associated costs and accommodate the repayment of unsecured creditors.
With a significant amount of borrowing already in place, the case required careful consideration of the overall loan structure, affordability and proposed exit strategy.
The client needed sufficient time to either sell the property or refinance onto a suitable buy-to-let mortgage, making flexibility around the exit particularly important.
The Positive Solution
Positive Lending worked closely with the broker to understand the client’s requirements and identify a suitable regulated bridging solution.
We sourced a facility with Afin for £1,777,696 at 80% LTV, providing the funding required to refinance the existing bridging loan while accommodating the additional borrowing needs.
The loan was structured over 12 months with interest retained, meaning the client was not required to make monthly payments during the term. This provided greater flexibility while the longer-term exit strategy was put in place.
The Loan
Product: Regulated Bridging Loans
Lender: Afin
Loan Amount: £1,777,696
LTV: 80%
Term: 12 Months
Rate: 0.70% per month
Payment: £0, retained interest
Exit: Sale of current property or refinance to a buy-to-let mortgage
Positive Lending Fee: £295
Process: Positive Lending packaged for the broker
Importantly, the facility allowed for two potential exit routes: the sale of the property or refinancing onto a buy-to-let mortgage. This gave the client greater flexibility depending on how their circumstances and the property market developed.
The “Positive” Outcome
The client secured a £1,777,696 regulated bridging loan with Afin at 80% LTV, with a 12-month term and interest retained at 0.70% per month.
The new facility provided the funding needed to refinance the existing £1.53m bridging loan, cover associated costs and accommodate the repayment of unsecured creditors.
With no monthly payments required and the flexibility to exit through either property sale or buy-to-let refinance, the solution gave the client valuable breathing space while providing the broker with a clear route forward for a complex short-term funding requirement.
Why Choose Positive?
Complex bridging cases often require more than simply finding a lender with the right LTV. Understanding the existing finance, additional borrowing requirements and, most importantly, the proposed exit is critical to structuring a workable solution.
Positive Lending works alongside brokers to assess the full circumstances, identify suitable specialist lenders and package complex bridging cases effectively.
Whether it’s refinancing an existing bridge, raising additional capital or structuring a flexible exit strategy, our experienced team can help brokers find a positive way forward.