The £510,000 12 month facility was tailored to deliver the required 68% LTV net day one. It also provides £110,000 in arrears to fund 100% of the refurbishment costs for one of the properties, a seven bed HMO. The works include adding en-suite bathrooms to all bedrooms and renovating the communal kitchen. The borrower intends to refurbish the other two properties, a five bed HMO and an eight bed HMO, using their own funds. Once all three properties are renovated, they plan to tenant them and exit on to a specialist buy to let mortgage.

The loan is under Funding 365’s newly enhanced Light Refurbishment product which offers bespoke solutions up to 75% LTV net day one plus works up to 40% of the OMV. These loans can be secured against a wide range of residential and semi-commercial properties across England and Wales, including HMOs, MUFBs and PBSAs. The product guide can be found here: www.funding-365.com/light-refurbishment-loan

Dhivian Pirabaharan, Underwriter at Funding 365, comments, "This facility is a great example of how versatile our products are. Here, we were able to combine auction finance with both funded and self-funded refurbishment to create the right solution for our borrower. Brokers are sometimes surprised to learn that we’re not a Southern-centric lender. In reality, our loan book is spread right across England, Wales and Northern Ireland. No two days are the same as an underwriter at Funding 365.”