Bridging Finance Solutions has once again reaffirmed its flexible and agile approach to lending through its latest development finance loan.
A first time client had purchased a former farmhouse in Barnsley, Yorkshire, with three long term friends, splitting the site into eight comprising four large and four smaller plots. Together the group commissioned all utilities and communal groundworks as well an architect to ensure continuity of design, however, each was responsible for their own specific plot.
The property had been bought outright for £600,000 at £150,000 each, however, our client faced considerable difficulty in securing any financial support due to historical credit.
The client explained: “I have had existing mortgages so didn’t anticipate any problems in securing a loan, however, when I began to apply with high street lenders, my applications were refused time and time again. My conversations with BFS gave me some hope the funding could be secured as they were able to take a more human and pragmatic look at the scheme and recognise the financial viability.
“Whilst the process was fairly complex, we managed to secure a development loan for £187,000 allowing me to begin works which was of course a massive relief!”
The client is set to build a large five-bedroom home on the larger plot whilst work is underway by close family to build a smaller, yet still substantial home, on the smaller plot.
The client continued: “It had been so difficult to watch my friends carry on with their builds whilst my work has been put on hold. The team at BFS offered me a lifeline under agreeable terms – their support has been fantastic!”
Once complete, the home is expected to be valued in excess of £600,000 and the client will use the property as his own home.
Jeanette Gwatkin of BFS added: “As an independent business, we are able to take a broader view on each case and consider all circumstances. For us, in this case, the figures stacked up and there was sufficient value in the land to secure the loan. We’re really pleased to be able to work with the client and ensure he completes this brilliant self-build.