Smaller loan sizes don’t always get the care and attention that they deserve. Lenders generally avoid them, and brokers generally seek larger transaction amounts – ultimately it is the same amount of work for a lower return. As such, those who do operate in this area usually charge more to counteract this.
Our MiniWings focus product was designed to fill this malfunction in the market. Providing a product that targets smaller loans (£50,000 to £250,000) at competitive prices; no minimum fees and interest margin requirements. This product is perfect for stretched LTV purchases and small conversions.
Albatross was approached by a returning customer who had agreed a below-market-value purchase of a residential property in a university town. They already owned several similar properties on the road which were operating as HMOs. This particular asset was in a semi-derelict state, but the customer intended to carry out a full PD conversion to HMOs to support the student living requirement in this area. The client agreed a purchase price of £65,000 and needed as close to this as possible – he funded the works himself. We offered the client a £59,000 which was 75% LTV against the OMV and 91% against the purchase price. The client has now carried out the works himself and benefiting from a GDV closer to £170,000.
As a sole trading developer, my main focus is put my energy in to carrying out exceptional schemes. Over the years, I have kissed many frogs when it comes to borrowing money; you either get a lender too wrapped up in red tape to be able to provide the speed and flexibility that I need, or a lender who doesn’t fully understand the inevitable ups and downs of property development in order to get to the finished masterpiece.
Albatross have been like a trusted business partner to me for several years now and they play a large part in the success I have had commercial. Cannot recommend enough.
Like many, I found myself up against it, financially, during the covid 19 period. I was faced with a business debt that required immediate payment, but my funds available were limited.
Fortunately, my broker introduced me to Albatross. They met me almost immediately on the site of a small barn and vacant barn conversation that I own and rent out on a holiday let basis. Given the urgency, we instructed legals at the time of meeting and they provided me with funds within 48 hours, ensuring I settled my payment on time. I will be forever grateful for both their speed of initial delivery, and service and understanding throughout the loan term.
I have been supporting Albatross with loan applications since their inception, and some 8 deals later they continue to be my ultimate lender of choice. I particularly relish the fact I can call the office and speak directly to a decision maker; they don’t always say yes to my deals, but I equally appreciate the quick no’s.
A lender who is able to be as commercially minded and efficient as Albatross is a lender who’ll go very far.
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