Case study: a £2m mortgage at speed for city professionals with bonus income

Our client

The four-bedroom terraced property in St John’s Wood was new on the market. At £3 million, with room for further development, it was a perfect opportunity for Janet and Jamie* to upsize and create their perfect family home.

Their challenge

They needed to act fast and secure a mortgage to fund their purchase in an area where space is highly sought-after. To afford the home they really wanted, the couple needed a deal that considered their annual discretionary bonuses, not just basic salary. As a finance professional, Jamie’s bonus was split between cash (paid in US dollars) and shares he could only access after two years. This meant finding a lender that could understand his income and be able to account for variations in foreign exchange rates or business performance.

Our solution

The private banking arm of Investec supports many city professionals who want to leverage their bonus to buy a home or investment property. Janet and Jamie bought their house with a 90% loan-to-value mortgage – meaning they could move swiftly without needing a large deposit. Their 25-year interest-only arrangement meant they could manage their cash flow carefully, in light of their irregular income patterns. Their deal also reflected the likelihood of downsizing and moving to a smaller property in the future as part of their repayment strategy as part of Investec’s commitment to building long-term, supportive relationships with our clients.

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. An arrangement fee and other costs apply to take out a mortgage with Investec Bank plc. Early Repayment Charges may apply to a mortgage.

*This is an example case study based on the services we provide. Some details may have been changed to maintain confidentiality. This includes the client names.