Aria Finance was approached to assist a client seeking to purchase a semi-commercial property with a flat on the same freehold. The client required a small mortgage to secure the property without disrupting her existing business operations.
The Client:
The client is a self-employed hairdresser operating from the commercial section of the property, complicating matters living in the flat above. Her business relies on long-standing client relationships, making continuity of location critical to maintaining sales.
The Situation:
The property in question had a unique structure: a semi-commercial space with a residential flat on one freehold. The total property value was £95,000, and the client needed to borrow £50,000. Traditional mortgage sourcing systems declined the application due to the property type, the low value of the property, and the client’s age. Additionally, the lender needed to accept that the main beneficiary had a lower income than the second beneficiary and could consider income up to a non-standard age. Without securing this mortgage, the client risked having to relocate her hairdressing business, which could negatively impact her client base and revenue.
Our Solution:
Aria Finance leveraged its knowledge of specialist lenders who deal with complex cases. We referred the client to a lender that accepted semi-commercial properties at residential mortgage rates and considered the main beneficiary’s lower income. This lender also allowed the use of income up to a non-standard age and approved a loan on a low-value property with a low loan size.
Benefits & Results:
The client successfully secured a £50,000 mortgage with a 54.21% LTV over 96 months. This solution allowed her to continue operating her business from the same location, preserving her client base and income. By navigating around traditional lender limitations, Aria Finance ensured the client could maintain her business without disruption, demonstrating the value of specialist brokerage knowledge in complex property finance scenarios.
