Case Study: Buy-to-Let Mortgage for Entrepreneur with Complex SPV Structure and Limited Personal Income

Explore how lending partners of Fitch & Fitch Private Office have supported high-net-worth clients with bespoke mortgage finance.

Client Profile

A seasoned entrepreneur and property investor sought funding for the purchase of a 12-bedroom Grade-II listed buy-to-let property in Essex. The investment was to be made via a Special Purpose Vehicle (SPV) held within a broader holding company, which included several other trading entities supporting property development and construction. The client had been self-employed throughout his career and was the ultimate beneficial owner (UBO) of the corporate structure.

The Challenge

The property required refurbishment and an EPC rating improvement (from F to E) before it could be let. In addition, the client needed to release equity from other properties within the holding company to support the acquisition. As the client drew a limited personal income and held minimal UK liquidity, traditional affordability models were unsuitable. The lender also had to factor in potential rental void periods during the initial upgrade phase and beyond.

The Solution

A lending partner conducted a detailed analysis of the four trading entities within the holding company, assessing their liquidity and cash flow in the context of supporting mortgage repayments. Proceeds from a pipeline development project were also considered as part of the affordability profile. To mitigate risk, the client was required to hold 12 months’ interest payments in reserve at completion.

The result was a tailored 15-year, interest-only mortgage at 55% loan-to-value, with the first five years fixed and the remainder on a reversionary rate.

Result

The client completed the purchase and began works to enhance the property’s value and compliance. This case illustrates how Private Office lending partners can navigate multi-layered company structures, limited personal income, and cash flow-based affordability assessments to support entrepreneurial clients with ambitious property plans.

Disclaimer

Important information

Your home may be repossessed if you do not keep up repayments on your mortgage.

The case studies featured represent real scenarios supported by our Private Office lending partners. Some details have been amended to preserve client confidentiality.

Mortgages are subject to status, eligibility, and lending criteria. Residential finance solutions are available for properties in England and Wales and are primarily available to UK residents.