Buckinghamshire Building Society completes complex later life case
Buckinghamshire Building Society has completed a low-LTV residential mortgage for borrowers with multiple income streams, an interest-only structure and a property with mixed residential and business use.
Buckinghamshire Building Society has completed a complex residential mortgage case involving borrowers in their 50s and 60s with multiple income streams and a property requiring additional underwriting consideration.
The applicants were purchasing at less than 40% LTV, but the age profile of the borrowers meant affordability needed to be assessed carefully. As the older applicant would be over 70 by the end of the mortgage term, the society assessed affordability on a sole basis to ensure the loan remained sustainable.
The property was set within a substantial plot of land and included an area used for business purposes. The valuation concluded that the land could not realistically be separated or independently rented, allowing the society to take a pragmatic view of the security.
The applicants also requested an interest-only mortgage over a relatively short term, with the eventual sale of the property forming the repayment strategy. Following discussions between the broker, clients and lender, Buckinghamshire Building Society accepted that the proposed exit was realistic for the circumstances.
Both applicants had multiple sources of income. The first relied on partnership, self-employed and pension income, while the second had recently experienced a change in income profile.
Additional information and future income projections were supplied by the second applicant’s accountant to help the underwriting team assess the overall position.
Chris Arnold, mortgage advisor at Penguin Wealth, said: “From the very first conversation with our Key Account Manager, Paul, it was clear the Society wanted to understand the case rather than simply assess it against a checklist. The guidance on the documents required was invaluable, and both the administration and underwriting teams were approachable, responsive and incredibly helpful throughout. It made a complex case feel straightforward and resulted in a great outcome for our clients.”
Claire Askham, head of mortgage sales at Buckinghamshire Building Society, said: “Every case is different, and this is a great example where taking the time to understand the full picture makes all the difference. Our experienced underwriting team is able to consider complex income structures, later life lending scenarios and unique properties on their individual merits. By working closely with brokers from the outset, we can often find solutions where others may not.
“When brokers like Chris present a well-packaged case and work collaboratively with us, it enables us to focus on finding solutions rather than requesting further information.”
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