Our client purchased a repossessed property for cash via the receivers and achieved a distressed purchase price due to its very poor condition.
He completed a full refurbishment to a high specification and tenants were lined up to move in straight away.
We refinanced this property to allow the client to complete on another auction purchase that he was successful with as he wanted minimal personal funds going into the purchase.
It was our clients intention to fully refurbish the auction property using own personal funds, we kept in touch throughout our loan term to understand how the client was progressing. Our client had purchased the property for £170,000, and it has an estimated GDV of £320,000.
Following refurbishment, the clients plan to exit our loan was to refinance the auction property. The refinance of the property was arranged on time, and our loan was redeemed in full.
Our client was a professional person that sources below market value deals and/or auction properties to refurbish and either refinance or sell.