Bridging enables the swift purchase of an unmortgageable future home

United Trust Bank’s Bridging team was approached by a broker acting on behalf of a client who wished to purchase a large, detached house in London but with various challenges to overcome.

The house was arranged as three flats with planning permission in place to return the house to a single dwelling. It was the borrower’s intention to complete the refurbishment and have the property as their main home. In its current configuration and condition the borrower could not obtain a conventional mortgage to complete the purchase. The property also showed signs of structural movement which required underpinning.

A bridging loan would provide the borrower with the funds required to buy and renovate the property with the exit being a refinance to a residential mortgage once the transformation was complete.

A further complication was that the house remained under probate and was being purchased as a sub-sale from someone who had bought the house at auction; completion of the purchase being required within 10 days of probate being granted.

The application was received by UTB on the 12th of April. Despite a full valuation, structural report and detailed schedule of works being required, the loan completed on the 29th April within 10 days of the grant of probate.

BorrowerHome buyer
Loan TypeBridging Finance
Term12 months
Project typePurchase of unmortgageable property
Special Features Purchase via sub-sale required swiftly upon grant of probate

Property configured as three flats requiring conversion back to a single dwelling

Structural issues