Our client is borrowing £182,008.00 to assist with the purchase and then the conversion of the security property ‘Crecy Close – DE22’. The loan will be drawn in tranches, with the borrower receiving £86,669.20 in this first tranche. The remaining amounts will be drawn against monitoring surveyors certification.

We are taking a First Legal Charge over the security, a three-bedroom semi-detached house.

Our borrower has many years of experience as a developer and has undertaken similar projects in the past.

The property has been given a Gross Development Value of £312,000.00 and based on this, our LTGDV 58.33%.

Exit of the loan will emanate from refinance at the end of the 12-month term.

This loan rating system is designed to indicate the risk level of each investment opportunity. As a guide, an A1 loan is considered to be low risk and a C3 loan is considered to be higher risk.

The level of risk is determined using an algorithm that measures numerous variables such as the LTV, the location of the security property, the borrower’s credit score, the legal charge that we hold over the security and more.