The borrower
The client was a Senior Managing Director at an international investment management firm who wanted to fund the purchase of a new primary residence in West London for his young family. He was a US citizen.
The problem
The client was looking to purchase a five-bedroom property for £8.7m and required a high LTV mortgage with flexible terms, to repay the loan in line with liquidity events.
His base salary was a low proportion of his annual income, and his additional remuneration included a bonus, dividend, vesting stock and incentive fees. Part of this income was received in US dollars and potentially subject to US tax liabilities. This added complexity to his income treatment and affected his affordability profile.
The client also received carry distributions and wanted to make additional capital reductions to his mortgage debt, during the term.
The solution
Investec undertook a holistic evaluation of the client’s financial profile and the stock price of their firm. We were then able to provide an 85% LTV mortgage structured in two parts.
A £6.4m loan was offered on an interest-only basis on a 20-year term, alongside a fully amortising loan of £865,000 for the same period.
The client maintained strong post-purchase liquidity and was able to fund repayments from surplus income.
Get in touch
If you're a mortgage broker and want to discuss how we can help your clients with their mortgage, contact us.
Further information for mortgage brokers
Mortgage rates
Our latest rates and details on early repayment charges, valuation fees and solicitors fees.
Mortgage broker hub
Our dedicated hub for mortgage intermediaries.
Client application forms
Application forms and key documents for your clients to complete.
Important information
Your property may be repossessed if you do not keep up repayments on your mortgage. Investec residential mortgages are only available for residential properties in England or Wales and are primarily available to UK residents and subject to eligibility.
Browse content in