Funding 365 delivers refurb loan for North West HMOs

Funding 365 has completed a loan for the purchase and complete refurbishment of three HMOs in the North West.

Provided at an interest rate of 0.74% per month, 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 — located across Cumbria and Lancashire — are renovated, they plan to let them and exit on to a specialist BTL mortgage.

"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,” said Dhivian Pirabaharan, underwriter at Funding 365 (pictured above).

“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.”