Financial services professionals are among the most likely of our clients to have unconventional earnings profiles. For example, investment bankers typically receive a base salary and annual allowances, as well as bonus packages that often comprise a mix of immediate cash payments, stock options and deferred cash. In some cases, certain parts of a professional's remuneration may be paid in different currencies.

High-net-worth (HNW) borrowers with complex earnings need equally sophisticated mortgage solutions to ensure they secure their dream homes. That's why Investec Private Bank is the bank that other bankers can trust to understand their unique borrowing requirements.

The client

An investment banker wanted to purchase and renovate their new home. Rather than sell their existing property, the borrower hoped to convert it into a buy-to-let once the renovations on the new home were complete.

The challenge

The client had a complicated income profile with earnings across multiple currencies, including a base salary in pounds, a fixed annual allowance in US dollars and annual bonuses in cash, deferred cash bonuses and stock awards. This meant a substantial proportion of the borrower's assets were held in foreign currencies.

The client's mortgage requirements were also challenging, with a home loan needed for the new property, as well as the refinancing of the existing mortgage. As a result, the mortgage on the new home was at a 90% loan-to-value (LTV) rate, and the client was reluctant to put further assets towards the purchase because of the impact it would have on their renovation plans.

Our mortgage intermediary team has considerable experience working with financial services professionals and favours a flexible mortgage underwriting process.

The solution

The most complex mortgages may seem like an impenetrable puzzle; a perplexing mix of independently moving parts. But Investec Private Bank prides itself on putting together all the pieces by always looking at the bigger picture.

On this occasion, we were able to create a cross-collateralised mortgage for the client across both properties, bringing down the combined LTV to 82%. By analysing the borrower's earning patterns and broader financial profile, we were also able to incorporate capital reductions over the first 10 years of the mortgage. These reductions would substantially lower the initial LTV, while still fitting comfortably within the client's income range.

Ultimately, our mortgage intermediary team has considerable experience working with financial services professionals and favours a flexible mortgage underwriting process. We can therefore take into account a variety of non-traditional earning patterns, such as deferred cash bonuses and stock options, allowing us to create tailored home loan solutions for HNW clients with unique earnings and in multiple currencies.