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Brokers - is this placeable?
Retired_Mortgage_Adviser
Posts: 590 Forumite
I've just had a call from a young mortgage broker relative of mine who asked my advice with regard to placing the following case -
The client (a portfolio landlord) is a 100% shareholder of company A.
Company A is the 100% shareholder of company B.
Company B is an SPV (with the right SIC code) under which the client holds 7 other BTLs, none of them are mortgaged.
The client wants to buy a new build flat through Company B on a 50% LTV mortgage but my acquantiance is struggling to place the case because of the way it's structured.
I know you can't name any lenders but does anyone know if there is indeed any lender who will lend to an SPV that has another Ltd Co as the sole 100% shareholder which itself has the client as the 100% shareholder?
The client (a portfolio landlord) is a 100% shareholder of company A.
Company A is the 100% shareholder of company B.
Company B is an SPV (with the right SIC code) under which the client holds 7 other BTLs, none of them are mortgaged.
The client wants to buy a new build flat through Company B on a 50% LTV mortgage but my acquantiance is struggling to place the case because of the way it's structured.
I know you can't name any lenders but does anyone know if there is indeed any lender who will lend to an SPV that has another Ltd Co as the sole 100% shareholder which itself has the client as the 100% shareholder?
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Comments
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FYI eventually (after a lot of calling around), two lenders were willing to consider this - Masthaven and Vernon.Apparently the client was unhappy with the rates presented.
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Vernon only lend in the local area, but their rates are not bad?
I am a Mortgage AdviserYou should note that this site doesn't check my status as a mortgage adviser, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice.1 -
The development is in the NW.ACG said:Vernon only lend in the local area, but their rates are not bad?Exactly, I looked up their rates and they don't seem bad at all. But clients sometimes have unrealistic expectations!
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Very true.
You may find they come back in a week or 2 if nobody else can do anything better.I am a Mortgage AdviserYou should note that this site doesn't check my status as a mortgage adviser, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice.0 -
I've seen this scenario on another forum.I am a mortgage broker and IFA. You should note that this site doesn't check my status as a Mortgage Adviser, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice1
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Whats_your_forte said:I've seen this scenario on another forum.
Yes, Deleted_User very kindly PM'd me suggesting cherry. I wish I'd known of it a few years ago!
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