£58,000 Raised for Property Improvements Without Costly ERCs
The Client Background
A broker approached us on behalf of a client wanting to raise the maximum possible funds to support a property extension, on an interest-only basis, against a buy-to-let property.
The client’s existing lender limited additional borrowing to £22,000, significantly below the required amount. Additionally, the client was tied into a fixed-rate product until late 2027, meaning a remortgage would trigger early repayment charges (ERCs), making this route commercially unviable for the client.
The “Positive” Solution
The initial loan request of £89,000 was revised to £58,000 following a down valuation of the property, alongside considerations relating to its ex-council status and deck access.
After reviewing options across our lending panel, the case was successfully placed with Together Money, who were able to offer up to 75% LTV on an interest-only basis, delivering the maximum loan possible.
The Loan
Product: Second Charge Mortgage
Lender: Together Money
Loan Amount: £58,000
Loan Purpose: Home extension
Term: 168 months
LTV: 75%
Commission Share: £957
Service: Positive Lending Advised
Why Choose Positive?
Positive Lending identified a specialist second charge solution that avoided costly early repayment charges while maximising the client’s available borrowing on an interest-only basis. Our expertise in complex property scenarios and strong lender relationships ensured the case remained viable despite valuation and property-type challenges.
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