Background
Alan is a company director of a long-established, profitable, family business. He has been employed for 35 years with the same company. He is 58, separated and has one financially dependent child. He lives in his own home, which is mortgaged.
He has had a residential mortgage since the age of 21. He has never missed a payment and has an impeccable credit history.
He wanted to downsize and finally found the perfect property. But when Alan tried to obtain a mortgage with his existing lender he was declined.
Objectives
To raise a mortgage for the purchase of a property valued at £525,000, with a deposit of £236,000 which was made available from the proceeds of the sale of his current home.
To find a residential mortgage lender that would consider Alan’s application.
Considerations
Taking into account factors relevant to Alan’s circumstances, such as Alan’s flexible retirement age – he intends to work until age 70, together with the features that were important to him such as, a fixed mortgage for at least 2 year and maximum monthly repayment of £3,500.
Recommendation
We were able to source and recommend an alternative lender that met Alan’s requirements and offered a competitive rate.
Here are the details of the deal:
Loan amount – £289,000
Rate – 2.19% fixed for 5 years
Term – 8 years, capital & interest repayment
Mortgage payment – £3,301.56
We helped to secure Alan’s residential finance. He is very happy in his new home.
