The Mortgage Lender (TML) has progressed a complex self-employed residential mortgage application in just 10 working days, working with the broker EHF Mortgages.
The clients, a couple trading as limited company directors, sought a mortgage for a new-build property.
TML said the case became increasingly complex due to a change in company structure part way through the application.
TML accepted the updated shareholding midway through the underwriting process and was able to reflect this in its mortgage offer.
The lender also assessed the self-employed couple’s affordability on net profits before tax, giving them an increased capacity to borrow a higher loan amount.
The new-build needed a warranty certificate that would be accepted by the lender, but it was not one typically accepted by TML, so the lender sought special dispensation for the warranty to be accepted.
TML provided an 80% loan-to-value (LTV) mortgage for the property.
David Eaves, head of sales at The Mortgage Lender, said: “This case is a prime example of how we go above and beyond to support our brokers and end customers.
“A number of complex factors were at play here, and our team ensured we provided clear underwriting, speedy responses, and a flexible approach throughout in order to accommodate the client’s borrowing needs.
“Justin Moy from EHF Mortgages, Andrew Heath, one of our BDM’s and Leanne Robertson, one of our mortgage underwriters, worked efficiently together to ensure the application was processed within 10 working days, half the average time an application usually takes, meaning the client could meet their homeownership goals.”
Justin Moy, managing director at EHF Mortgages, added: “The challenge was that the client was drawing 100% of the profits, but only owned 50% of the business – a family member owned the rest of the shares.
“Once we understood the situation and had agreed a potential way forward with the TML underwriters, we recommended that the client spoke to the family to take full ownership of the company.
“TML was then able to facilitate the mortgage and their affordability allowed the use of just the last years’ company profit.”
He concluded: “The client had already exchanged on the purchase some months ago, without a suitable mortgage in place, so not only was the challenge to lend the funds, but at the speed needed to keep the new build developer onside, as much as the rest of the chain.”
