Loan type: Semi-Commercial | Loan value: £1,360,000 | LTV: 74.5% | Term: 25 years
In the complex world of property finance, portfolio landlords face numerous challenges in managing their investments efficiently. At Aria Finance, we specialise in navigating these complexities to provide tailored solutions that align with our clients' financial goals. This case study highlights our successful intervention for a portfolio landlord burdened with a high-interest mortgage and financial difficulty.
The Client:
Our client was a portfolio landlord with a large, diverse portfolio valued at just over £8m.
The Situation:
The client owned a mortgaged commercial unit with multiple flats above it. They were paying a Standard Variable Rate of just over 10%, which was causing significant financial strain. Additionally, the client had missed a payment and previously entered a Company Voluntary Arrangement (CVA) to repay a portion of their debts over an extended period. The client had been let down by a previous broker, was struggling with monthly payments, and was unable to remortgage due to their financial history.
Our Solution:
To address these challenges, we made direct contact with the underwriting team of the client's lender, to propose a product switch which would transition the client to a lower fixed rate. We highlighted the long-term benefits for both the client and the lender, emphasising that the lower monthly payments would minimise the risk of the client missing a payment and defaulting. To secure approval, we would need to provide strong evidence that the client could pay off the CVA within a short time frame. Our team worked closely with the client to gather and submit all relevant supporting documents to the lender ahead of the strict deadline.
Benefits & Results:
By utilising our close relationships with the lender we successfully negotiated the product switch with a rate of 6.59% - significantly lower than the standard variable rate the client had been paying at over 10%. Additionally, we managed to get both the solicitors' fees and the shortfall waived, resulting in a saving of approximately £2900 for the client.
The client was delighted with the service they received from Aria Finance and the substantial savings achieved.
The client commented: "I wanted to take a moment to express my gratitude for the exceptional service provided by the Aria Finance team throughout my mortgage process.
"Their professionalism, knowledge, and dedication made what can often be a stressful experience incredibly smooth and straightforward. From our initial consultation to the final approval, they were always available to answer my questions and address any concerns.
"Their expertise and attention to detail were evident at every step, and I truly appreciate the personalised attention they gave to my unique situation and even saved the fees at completion which were at lender indicative terms I will certainly recommend Aria's services to anyone in need of a mortgage broker."
This case study demonstrates our commitment to delivering tailored financial solutions that meet the unique needs of our clients, resulting in significant financial benefits and enhanced client satisfaction.
