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Call for lenders to offer bridging finance for brief periods

There was support for our latest Bridging Watch piece, which highlighted that short-term lending was useful for financing refurbishments, but a solution was sought for those who owned a property for a brief period then looked to sell…

What I am waiting for is a lender that is prepared to mortgage a property despite it having been owned for less than six months. The bridging route as described is an excellent way of providing the short-term finance for this.

Bridging, however, will prove to be expensive in the long term and, if a scheme can be finished two or three months after completion, the fun can then begin.

If the owner decides to sell, he will find that any prospective purchaser won’t be able to obtain a traditional mortgage because the current owner has owned the property for less than six months. In addition, if the owner decides to let the property, he will find the same problem trying to go to the open market for a buy-to-let mortgage.

Therefore either he is stuck with the bridging finance for a few further months or he has to take a buy-to-let mortgage, if available, with the lender he took the bridging finance with.

Surely a lender can move to alleviate this problem.

Carl McGovern

Accord for Intermediaries praised for proc fee and overall transformation

There was praise for Accord for Intermediaries and sales manager David Robinson on the roll-out of retention procuration fee payments of 0.3 per cent to the full broker market…

What a tremendous lender Accord has become. If some brokers are still wary based on previous experiences, I’d urge you to get back on board. Their service levels and turnaround times are excellent.

David and his team have done a great job re. their overall transformation.

Robin Purdie

Bailey’s £65,000 bonus draws further criticism of FCA gravy train

And there was indignation at the news that FCA chief executive Andrew Bailey would be pocketing a bonus of £65,000 on top of his £330,000 salary…

I wonder if Andrew Bailey [below] has any idea how many mortgage fact-finds, terms of business and suitability reports I have to complete in order to earn £330K, never mind the bonus!

It would take me about three years and approximately 330 mortgages to achieve…

Sam Cox

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