£750,000 self-employed remortgage with Santander

1.3% interest rate

Remortgage for self-employed couple in the same business during COVID-19

Our client

Our self-employed client owns a Fine Wine trading and storage company, his wife also works in the business, and they were seeking a £750,000 remortgage during a time of national crisis.

What was needed?

Lenders are taking a cautious approach to self employed borrowers during the COVID-19 crisis, so a lender needed to be found who was willing to consider a self employed remortgage at this level of borrowing.

What was the challenge?

As a result of the emergency COVID-19 situation, lenders have tended to reduce the amount they are lending to self-employed borrowers and in many cases have reduced their loan to value ratio. Self-employed borrowing is often seen as riskier and more time consuming by lenders at the best of times, so during lockdown lenders are being extra wary.

In addition to the general caution of the banks during COVID-19, the client had a specific issue which could have affected his remortgage borrowing capability. His wife also worked in the wine trading company, so their joint income was dependent solely on the success of their business. The couple needed to meet the affordability criteria of the lender by evidencing the stability and viability of their business at this difficult trading time.

How we provided the solution

Mike Brooker, Associate Director, discussed the mortgage goals with his client and determined which lenders to speak with who would be willing to consider a self-employed remortgage at this level.

Mike was able to conclude an appropriate self-employed remortgage deal with Santander as he was familiar with the lender’s criteria and the COVID-19 declarations which all lenders now require for the self-employed. These declarations are how we explain to a lender how a business has been affected by COVID-19, or not. Plus what, if any, changes the client has made to their business, and therefore their incomes, to ensure these are viable for the long term. In addition Mike was aware that the couple would need to evidence a recent track record of income from suitable documents such as payslips and bank statements. All combined, this ensured the clients received the right outcome in a timely manner.

The clients were delighted with the outcome. The couple were able to remortgage at the £750,000 level needed, with no hassle or wasted time, and were most appreciative of Mike’s knowledge and professionalism.

What was the rate?

The rate was 1.3% fixed for 5 years.