Scenario:
The client was purchasing a second property to live in and required a loan of £5 million. They were a high-profile individual in the entertainment industry, looking for a competitive lending option that could accommodate their complex income structure.
Challenges:
The client’s income was derived through a limited company, meaning traditional income assessments such as salary and dividends were not reflective of their full earning capacity. Instead, affordability needed to be assessed using the company’s net profits. Additionally, the large loan size restricted the number of lenders willing or able to consider the case.
Solution:
Having assisted many high net worth clients with non-standard income profiles, Magni Finance worked closely with the large loan team at a major high street bank. We presented a full picture of the client’s financial position, using the company’s net profit history alongside a detailed letter from the client’s accountant. This helped demonstrate consistent and sufficient affordability. The case was approved within one week, and the client secured the full loan amount on favourable terms.
Key figures:
Property value: £6.8 million
Loan amount: £5 million
Repayment type: Part interest only
Product type: 2 year fixed
Interest rate: 4.53%