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Case study: 85% LTV for business owners with foreign income

Investec was approached to provide a mortgage for a couple with complex earnings including USD income.


The client

A couple relocating from the US wanted to borrow £3.5m to purchase a luxury family home in North London. They were owners of a growing FMCG business.

The challenge

The clients had a complex income profile.  Their income was received in US dollars and drawn from their business ventures. This meant the companies’ financial position needed to be assessed alongside the clients’ personal finances.

In addition, they held a significant offshore investment portfolio, creating exchange-rate and market volatility considerations for affordability.

The solution

Investec assessed the clients’ overall position, considering personal income, company performance and investment assets. To manage exchange-rate risk, we applied a prudent haircut to the US dollar income when assessing affordability. With a clear view of serviceability, we provided an 85% LTV mortgage over a 20-year term, including an interest-only period.


 

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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. This is a case study based on the services we provide and may be hypothetical. Some details may also have been changed for client confidentiality.

 

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