High-value mortgage for high net worth individuals
Banks and building societies still provide high-value mortgages to high-net-worth individuals enabling workers to capitalize on opportunities.
Given the current economic landscape with high inflation and constantly changing interest rates, a tailored financial solution can be the difference between getting a sufficiently large mortgage or not.
At Trinty Financial, our team of specialist brokers is well-versed in the intricacies of the high-net-worth lending sector. Bespoke mortgages enable us to secure mortgages that align with your unique financial situation and cash flow requirements.
The large mortgage loan market is arguably more complex than ever
The £500,000+ large mortgage loan market is arguably more complicated than ever, leading to high street lenders and private banks setting up high-value lending teams to get more complex mortgages agreed.
Many of our clients run their own companies or receive bonuses and discretionary income. Others receive vested and invested stock or foreign income. We constantly speak to borrowers looking for higher loan-to-value ratios and income multiple stretches.
While traditional lenders often consider only a fraction of bonuses or cap them relative to salary, we take a holistic approach. We factor in average bonuses over recent years, vested and unvested stock, and even foreign currency income. This allows us to offer higher loan-to-value ratios and income multiples.
Moreover, repayment plans can be customized to accommodate your income and future liquidity events, supporting your cash flow. This can offer flexibility, including options for overpayments to reduce your overall mortgage balance. Additionally, banks can provide interest-only or revolving credit facilities that adapt to your career and financial goals.
Aaron Strutt, product director at Trinity Financial, says: "When it comes to leveraging the value of your investments without selling assets, many private banks offer efficient lending options. By borrowing against an investment portfolio, they can access liquidity without incurring tax liabilities associated with selling assets.
"The lenders tailored approach extends beyond residential properties to investment properties, including buy-to-let opportunities. They also cater for individuals, trusts, and Special Purpose Vehicles (SPVs), ensuring a comprehensive lending solution."
Should you use a high street lender or private bank to secure a large mortgage loan?
Banks and building societies are as keen to attract wealthier clients as private banks.
As a result, the lender's Trinity Financial work with provides mortgage rates in different loan-to-value brackets with varying maximum loan sizes.
Private banks typically have a minimum mortgage loan size of £1 million, although increasingly, they are reducing these amounts. Borrowers seeking larger loans through the high street or private banks typically need to have a deposit of a least ten per cent of the purchase price. Other lenders will expect a much larger deposit.
HSBC for Intermediares is one of the lenders providing mortgages of up to £5 million, while Barclays for Intermediares offers rates to wealthier clients looking to raise between £2 million and £10 million. Surprisingly, many lenders offer bespoke deals to those seeking larger mortgage loans.
Call Trinty FInancial on 020 7016 0790 to secure a mortgage or book a consultation
The information contained within this article was correct at the time of publication but is subject to change.
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