Mortgages for Business has completed its first residential investment mortgage with new lender Whiteaway Laidlaw Bank.
Whiteaway Laidlaw Bank launched on 7 April 2011, following its acquisition of Commercial First Mortgages
The deal was secured on behalf of an experienced investor who purchased at auction a freehold property in High Holborn, London, consisting of a convenience store on the ground floor with four self-contained flats above. The investor then sold the shop on a long lease which cleared the bridging finance that was used to make the initial purchase.
With the remaining unencumbered flats valued at £1.2 million and bringing in a gross monthly rent of £5,800 the investor was able to raise a further £660,000 with WLB to reduce cash flow and make additional property investment purchases. Mortgages for Business arranged finance at rate of 3.7% over LIBOR for three years on an interest only basis with a lender fee of 1.95%
Whiteaway Laidlaw Bank says it has processed over 200 applications totalling an estimated £50 million of potential funding.
It targets experienced property investors and has been working with its partners to design products for the more complex residential investment opportunities including HMOs, semi-commercial and multi-unit free hold properties
Steve Olejnik, head of sales at Mortgages for Business, who negotiated the deal on behalf of the client, said: “[WLB’s] expertise and efficiency completed the deal in just 21 working days. It is refreshing to be working with professionals that have an appetite to lend and deliver an excellent service. The legal process in particular was second to none.””