Key Facts
- Property Value: £950,000
- Purchase Price: £840,000
- Bridge Amount: £672,000
- Loan To Purchase Price: 80%
- Purpose: Mixed Use Investment
- Completion Time: 8 Working Days
- Exit Strategy: Mixed Use Refinance
Client Overview
Our client successfully bid on a mixed-use investment property at auction for £840,000. The true value of the property sat at £950,000.
As is common with auction transactions, completion was required within 28 days. The client wanted certainty of funding and the ability to move quickly whilst longer-term finance options were explored.
The property comprised a ground-floor retail unit with residential accommodation above.
Auction purchases often require fast decision making and access to specialist lenders capable of delivering within tight deadlines.
Are you looking for specialist support with an auction purchase? Click here to get in contact with one of our experienced brokers today.
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The Solution
Articus Finance arranged a £672,000 bridging facility, representing 80% of the purchase price, with a lender experienced in auction acquisitions.
Due to the tight timeframe, we worked closely with the lender, valuer and legal teams to accelerate the process and ensure all deadlines were met.
Our extensive lender panel allows us to source solutions for residential, commercial and mixed-use properties throughout the UK.
Learn more about our Capital Raising & Bridging Finance solutions here.
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The Outcome
Funds were released and the purchase completed within 8 working days, providing certainty for the client and allowing them to secure the asset without delay.
We are now working with the client to refinance onto a standard, and less expensive, long term semi commercial investment facility.
Explore our Commercial Mortgage solutions here
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Need Funding For An Auction Purchase?
If you are considering an auction purchase, it is often beneficial to discuss financing options before bidding.
Our team can provide indicative terms, likely borrowing levels and guidance on lender requirements before auction day.
Speak with Articus Finance before your next auction purchase and ensure your funding is ready when you need it
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