product guide - lendinvestmin loan size £200,000 arrangement fee 2% max loan to value (land) 65%...

Product GuideShort term property finance

020 7118 [email protected]/borrow

2

Outside of our criteria? Get in touch to discuss your case.

WelcomeWelcome to the LendInvest Product Guide. Inside you’ll find our full range of products including; development loans, bridging loans and buy-to-let loans. Aditionally you’ll find a detailed explanation of our criteria.

OUR PRODUCTS

Development Loan

Bridging Loan

Bridge-To-Let

3 Year Buy-To-Let Loan

Loans from £200k to £7.5 million

Loan to GDV up to 65%

Terms up to 24 months

• Property development

• Ground up builds

• Buying property at auction

• Short term cash flow requirements

• Refurbishments• Extensions

• Portfolio building• Tenant and refinance• Hold pending planning

gain


LTV up to 75%


Transition from aLendInvest Bridging Loan

to a LendInvest 3 YearBTL loan at low cost.


LTV up to 75%


Often used for: Often used for: Often used for:


3


MEET YOUR DEAL TEAM

Our Business Development Managers are here to help, from enquiry to completion.

The team can provide assistance on all our products.

Gary [email protected]+44 (0)755 712 2992+44 (0)20 7118 9868

Magnus-Duke [email protected]

+44 (0)795 632 9292+44 (0)20 7118 9869

Michael [email protected]

+44 (0)790 085 6380+44 (0)20 7118 9871

Alex [email protected]

+44 (0)772 583 8546 +44 (0)20 7118 6811

What we do What we won’t do

• Unregulated loans

• Lend on property in England and Wales

• Bridging Finance

• Development Finance

• 3 Year Buy-To-Let

• All property types considered

• Regulated loans for owner occupied property

• Lend on property in Scotland and Northern Ireland


4


Development loansUnregulated loans for residential and semi-commercial projects, located in England and Wales. Borrowermust have previous experience of similar projects.

*Loan to cost is calculated as the total of purchase cost plus development costs. We can therefore provide 100% of the development cost in most cases.

DESCRIPTION

OUR CRITERIA

Max loan size £7,500,000 Loan term From 1 to 24 months

Min loan size £200,000 Arrangement fee 2%

Max loan to value (land)

65% (including interest) Exit fee 2% (applicable if loan to GDVis over 50%)

Max loan to GDV 65% (including interest) Max single unit GDV £4,000,000

Max LTC* 90% Max per square ft GDV £1,500

Valuation fees Market rate Legal fees Market rate

Accepted

Applicant experience Demonstrate experience of similar projects.

Charge 1st charge

Tenure Freehold, leasehold with more than 60 years remaining.

Drawdon Based on works completed with monitoring surveyor sign off.

Exit Applicants must be able to demonstrate realistic exit strategy.

Annual interest rate from 11%


5


Bridging loansUnregulated loans for residential, semi-commercial, commercial and land, located in England and Wales.Suitable for investment properties only. The borrower or borrower’s family cannot live or intend to live inthe property

DESCRIPTION

OUR CRITERIA

LTVMonthly interest rates from

Residential Semi-commercial Commercial

<40% 0.65% 0.80% 1.00%

<50% 0.75% 0.85% 1.05%

<60% 0.85% 0.90% 1.10%

<65% 0.90% 0.99% 1.15%

<70% 0.95% 1.05% 1.20%

<75% 0.99% 1.10% 1.25%

Max loan size £7,500,000 Loan term From 1 to 12 months

Min loan size £100,000 Arrangement fee 2%

Max loan to value 75% Early redemption fee None


Accepted Possible - please get in touch

Property Residential, semi-commercial, commercial Land

Refurbishment Light refurbishment

Heavy refurbishment, minor development (planning required, and/ or structural works, requiring building regs approval, movement of wall)

Charge 1st charge 2nd charge

Tenure Freehold, leasehold with 60+ left on leaseCommonhold, leasehold with less than 60 years left on lease, social housing



6


Bridge-To-LetLow cost transitions from a LendInvest Bridging Loan to a LendInvest 3 Year Buy-To-Let loan.

3 Year BTL Early Repayment Fee period starts from Bridging Loan start date

0% exit fee

Residential Bridging Bridge-To-Let 3 Year Buy-To-Let

1% arrangement fee

Early repayment fee period for the 3 Year Buy-To-Let loan will be calculated from the start of the Bridging Loan term.

Example: A 3 Year Buy-To-Let loan proceeding a nine month Bridging Loan would be subject to the following early repayment conditions:

DESCRIPTION

REQUIREMENTS FOR TRANSITION

Month 1 to 3 3%

Month 4 to 15 2%

Month 16 to 27 1%

Month 28 to 36 0%

The Bridging Loan must have been conducted in full compliance with the security documentation and our loan agreement.

Where necessary, a revaluation to confirm the current value of the property and market rent.

A revised legal agreement covering the new Buy-To-Let loan and the existing security

Ability to meet our lending criteria for the 3 Year Buy-To-Let loan.


7


3 Year Buy-To-LetUnregulated loans for tenanted residential properties, located in England.

*2% interest per annum is deferred and payable upon redemption of loan, or the loan can be serviced at the higher rate on request.

DESCRIPTION

OUR CRITERIA

LTV Annual interest rates from

<65% 6.99% pa with additional 2.00% pa deferred*, or 8.99%

<75% 7.99% pa with additional 2.00% pa deferred*, or 9.99%

Max loan size £2,500,000 Loan term 3 years

Min loan size £100,000 Arrangement fee 2.5%

Max loan to value 75% Early redemption fee

Year 1 - 3%

Year 2 - 2%

Year 3 - 1%


Accepted

Property Residential

Rental coverage 100% and over, unless underwriters agree to rental shortfall being covered by otherincome.

Charge 1st charge

Tenure Freehold, leasehold with more than 60 years remaining.Considered: Commonhold, leasehold with less than 60 years left on lease, social housing.



8


Individual

Minimum age 21

Maximum age 75 (at end of term)

Max number of applicants 4

Residential status Resident in the UK for 36 months or more. If not, please get in touch.

Nationality UK/EEA acceptable. Non-EEA subject to underwriter approval.

Corporate

Company origin UK limited companies. Non-UK possible. Please get in touch.

Max number of applicants 4 (directors/members)

Nationality UK/EEA acceptable. Non-EEA subject to underwriter approval.

Security Debenture or other fixed and floating security required.

Personal guarantees

UK companies: Full personal gurantee required from all directors and shareholders holding more than 25% of shares in the company.

Non-UK companies: Full personal guarantees required from the principal or beneficiary of the company.

Borrower requirements


9


General requirements

Servicing - Bridging/Development

Underwriters must be satisfied that the borrower has the means to servicethe monthly interest (where interest is not retained). Evidence may berequested.

Servicing - 3 Year Buy-To-LetThe rent as confirmed by the LendInvest valuer will be used to determine therental cover is a minimum of 100% of the interest charged at the agreed loanpay rate.

Solicitors

LendInvest will instruct its own solicitor to act on its behalf and you willbe liable for their costs. The solicitor acting for you (to be acceptableto LendInvest) must have at least 3 Solicitors Regulatory Authority (SRA)approved managers. Please note Licenced Conveyancers are not acceptable.

ValuersLendInvest will instruct a valuer from its valuation panel to value the securitybeing offered. You will be required to pay the valuers fee direct to the firminstructed when requested.

Deposit On all purchase cases the source of deposit must be disclosed. LendInvestmay request evidence of the deposit is produced.

RefurbismentDetails of any refurbishment and the related costs must be disclosed as part of your application. For major refurbishment/development you must supply details of your previous development experience to support your application.

HMO’s

Properties being refinanced that are operating as an HMO must have allappropriate licences in place at the time of application. Properties beingpurchased with an intention to use as an HMO should have licences in placeas soon as practical after completion.

Identity verification Passport or UK driving licence. Non UK residents, please contact us.

Address verification Utility bill, bank statement or tax demand dated within the last three months.Non UK residents, please contact us.

General requirements


10


Personal Credit Profile

Bankruptcy/IVA No bankruptcy/IVA in the last 3 years. if bankruptcy/IVA occurred in the last 6years a full explanation is required.

County Court Judgements(CCJ)

All CCJs must be satisfied and should not exceed £5,000. If more than oneCCJ is present in the last 6 years the LTV is restricted to 60%. If more than 3CCJs are present in the last 6 years the case will be declined. An explanationof any CCJ recorded is required in all cases.

Mortgage/Secured loans All secured loans should be up to date at the time of application with noarrears greater than 1 monthly payment in the last 36 months.

Unsecured loans/revolvingcredit

Any arrears or defaults in the last 24 months are at the underwriter’sdiscretion to disregard.

Criminal Convictions Not permitted unless relating to motoring offences, or at underwritersdiscretion.

Corporate Credit Profile

Bankruptcy or Liquidation No bankruptcy or winding up petition in the last 6 years.

County Court Judgements(CCJ)

No CCJs unless by underwriter discretion.

product guide - lendinvestmin loan size £200,000 arrangement fee 2% max loan to value (land) 65%...

Documents