Anonymous Customer Profile
A couple in their late 30s, both self-employed professionals based in Southern England, recently decided to invest in a property located directly adjacent to their current residence. With savings accumulated from income earned abroad and the purchase set up through a newly formed limited company, they sought specialised mortgage advice.
The Challenge: Buy-to-Let Investment with Complex Requirements
The couple faced a unique range of challenges:
- They intended to purchase a property that was directly next door—their own home—posing potential issues with many lenders.
- The deposit funds originated from overseas earnings, which several mainstream lenders would not accept.
- They wanted to borrow via a limited company structure, adding further criteria for lender approval.
- Stability was important—they preferred a 5-year fixed-rate mortgage for predictable budgeting.
- The total monthly commitment needed to remain under £1,800 to align with their affordability assessment.
Additionally, their selected lender needed to assess affordability primarily on the basis of projected rental income from the property rather than strict income evidence.
Our Tailored Mortgage Solution
After conducting a full affordability and risk assessment, we recommended a capital repayment buy-to-let mortgage through Godiva Mortgages Limited, structured to meet their income flexibility and property-specific needs.
Key Features of the Recommended Mortgage
- Lender: Godiva Mortgages Limited
- Rate: 5-year fixed at 4.93% until February 2031
- Loan Amount: £330,000
- Term: 30 years (to keep monthly repayments manageable)
- Estimated Monthly Repayment: £1,777.22
This lender was the most appropriate for multiple reasons:
- No minimum income requirement.
- Accepts deposits sourced from abroad.
- Comfortable with lending on properties adjacent to the applicant’s residence.
- Accepts limited company buy-to-let structures.
Although other lenders were reviewed—such as Aldermore, The Mortgage Works, and Paragon—they either declined overseas deposits, restricted adjacent property purchases, or included higher arrangement fees. Godiva Mortgages offered the ideal mix of flexibility and cost-efficiency for their situation.
Repayment Method & Additional Features
- Capital & Interest Repayment: Ensures the full loan is repaid over the term as long as monthly payments are maintained.
- Portability: Product can be moved to another property if needed.
- Annual Overpayment Option: Up to 10% of loan per year without penalty.
- Early Repayment Charges: Scaled down over the 5-year fixed period.
Outcome and Benefits Achieved
The clients achieved a mortgage that:
- Accepted their overseas funds and investment vehicle via a limited company.
- Met their fixed budget of under £1,800/month with a product fee to ensure lower monthly repayments.
- Provided borrowing stability with a competitive 5-year fixed rate.
- Positioned them to grow their property portfolio without regulatory or financial friction.
“We were amazed by how well the product matched our needs. It was such a relief to find a lender who wasn’t phased by the fact the property was right next door, or that our deposit was earned abroad.”
Frequently Asked Questions (FAQs)
Secure the Right Solution for Your Buy-to-Let Plans
Whether you’re buying an investment property next door, using overseas income for your deposit, or setting up a limited company for tax efficiency, we can help you find the ideal product tailored to your needs.
Contact us today to speak with an expert adviser and explore your options. Make your next property investment stress-free and successful with Deal Direct Financial Solutions.
