Background
A married couple were looking to purchase their next owner-occupied home before the sale of their current property had settled. To enable a smooth transition, they required bridging finance with a fully capitalised short term facility.
Challenges
Their main bank declined the application due to the need for a bridging loan with fully capitalised repayments.
Mitigants
Working closely with their adviser, we identified the following positive factors to help them get to approval:
- Strong and clear credit profile
- Favourable LVR position
- Robust exit strategy via sale of existing property
- Acceptable securities, with no requirements for RVs
Solution
We provided the couple with a short term bridging home loan and refinance solution to support them through the transition period.
LOAN AMOUNT
$2,000,000
INTEREST RATE
7.59% p.a.
TERM
6-month Fully Capitalised
LVR
57%
ADVISER FEE
$10,215
AVANTI FEE
$10,215
CASE STUDIES - PROPERTY LENDING
“Our Short Term Bridging Home Loan is ideal for property transitions, whether your clients are upsizing, downsizing, relocating, or renovating to sell.
We take a flexible approach, tailoring the loan structure and terms to your client’s timeline and exit strategy, so they can move forward without having to rush their sale or compromise on the right property.
If you have clients in a similar situation, get in touch with your local Avanti BDM.“
Harriet Wright
Business Development Manager, Auckland South and Waikato