UTB Key Account Manager Gary Lomax (pictured) was approached by a broker looking to assist his clients with a downsize prior to selling their own home. The clients had found a smaller home to move to and wished to borrow £505,000 (73% LTV) to cover the purchase price, the Land and Buildings Transaction Tax (Scotland’s equivalent to SDLT) and associated legal and other fees.
However, both security properties required a full valuation due to the couple’s current home being of non-standard construction and their intended purchase failing the initial AVM. There was also significant time pressure with completion due to take place in just over two weeks.
The application was received on Thursday, 4th September, and the initial underwrite was completed the next day. Pure Panel Management was instructed to carry out valuations of the clients’ current and future homes, and these were conducted on the following Monday, the 8th of September. Solicitors were instructed prior to formal agreement, the valuation reports were received promptly, and the loan was offered and funds made available by the end of that same week. The borrowers completed the purchase of their new home on the 22nd of September.
Gary Lomax, Key Account Manager at United Trust Bank, commented, “AVMs can certainly help to accelerate bridging cases, but this example shows it’s not the end of the world if you can’t use AVMs but still need a quick turnaround. If the lender, broker, valuer and lawyers all work together, everything is possible.”
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