Any Re-mortgage lenders for No Proof Of Income Chap?

Pharisee

A chap owns a UK property. Current value: £450,000. It's rented out on a 5-year contract. £3k per month rental income from it.

Wants to remortgage it to the maximum 'LTV' amount. Money to be used for redevelopment.

Would-be developer has substantial offshore funds BUT, for tax reasons, can't provide proof of income, payslips etc., which lenders normally require.

Any lenders out there who can help?

Thrugelmir

Pharisee wrote: »

Would-be developer has substantial offshore funds BUT, for tax reasons, can't provide proof of income,

In a way you've answered you own question.

What lender would want the risk? Given that the "Chaps" assets could be sequestrated.

Plenty of borrowers for the banks to choose from.

Pharisee

Ah, interesting. I must find out if he's actually in another country or resident in the UK but with funds abroad.

Thank you for replynig.

Thrugelmir

Would need to be UK resident to obtain a mortgage through mainstream lenders.

Pharisee

I asked and yes, he is a UK resident. So the sticking point would be proof of regular income?

I'm thinking lenders don't want to reposses your property, so it's value, although important, doesn't override getting a good cashflow?

What I need is a few obscure, off-highstreet lenders, methinks. But not the men with the baseball bats!

GMS

Where does he live now? In another property he owns or a rental property?

May be do-able. Get your friend to speak to a broker and see if this can be achieved.

Does the 5 year rental contract have break clauses in it?

holly_hobby

Traditional BTL lenders, will ordinarilly require vacant possession on completion, and an AST (max 6 mth).

There is a lender whom asks that you have income at a min level, but doesn't seek proof (although of course they will always reserve the right to do so).

If he's a UK resident, he's an expat looking for a BTL remortgage.

If he isn't a UK national, simply holds property here, and doesn't want to/can't prove income - then you're looking at an investment bank and a specalist broker (I think Conrad has some experience in this neck of the woods).

As a point of interest , not being liable to pay UK tax on income, doesn't mean income is "un-proveable", simply thats it not subject to UK tax - which if lawful - isn't a issue at all per se (although lenders are traditionally a bit tetchy where applicants have an income (ignoring if its related to being below APA), that isn't subject to UK tax).

Hope this helps

Holly