Case Study: Bridging loan in 6 days for auction purchase of a church

Loan Type: Second Charge Bridging Loan | Amount: £482,946.59 |  LTV: 67%  |  Term: 12 months

Once the hammer falls at an auction, you typically have 28 days to complete the purchase, which means traditional funding options for a property such as a mortgage are too timely. 

Bridging Finance is the perfect solution as they are known for the speed at which they can be completed.

Find out how the team at Aria Finance where able to arrange a bridging loan for a client in just 6 days, from enquiry to completion, to secure a church purchased at auction in this case study. 

The Client

After winning a property auction for a church, which was due to complete just after Christmas, the client was looking to utilise the equity from their large portfolio of 13 properties to fund the new property purchase.

The Situation

The client was in the process of remortgaging their properties to raise the required funds, however the buy-to-let mortgages were not going to complete in time. In addition, a church can be challenging property type to raise funds on. 

This case required the team at Aria Finance to identify a solution and deliver results at speed, with an auction deadline just after Christmas, the loan needed to compete before the Christmas holidays to ensure the client had the funds available prior to the completion date.

Our solution

Aria Finance reviewed the client's portfolio and identified 5 properties that had sufficient equity to complete the purchase of the church, but also where we knew the existing lenders would either not be required to provide consent for the second charge bridging loan or would be quick to provide consent. 

Benefit & Results

Our vast knowledge and access to a wide panel of lenders enabled us to place this case with a lender that we knew had the appetite for this property type and could also complete within our tight deadline. The lender was able to use AVMs for all the properties and internal legal, if the lender had been unable to do this and had gone down the route of full valuations and legal, then weeks would have been added to the process and the client would have been unable to complete on the auction purchase. 

This case study perfectly demonstrates the benefit of Aria Finance's market knowledge and strong lender relationships, as a result, the entire process was completed, before Christmas, in just 6 days, meaning the client was bale to complete the auction purchase within the tight time frame. 

If you have a case that requires speed and market expertise of Aria Finance then get in touch today.