Norton Home Loans has completed a £218,000 remortgage for joint applicants in Southampton, allowing them to consolidate debt and raise funds for renovation works on a non-standard construction property.
The specialist lender said the case involved a company director and a teaching assistant who were seeking to refinance a range of existing borrowing, including a mortgage on a standard variable rate, a secured loan priced at more than 10%, and unsecured debts.
The remortgage also released an additional £30,000 for works to complete renovations and an extension at the property.
The transaction was complicated by the fact the security was a Precast Reinforced Concrete house. Although the subject property had undergone repairs, neighbouring homes had not, which Norton Home Loans said had contributed to other lenders declining the application.
The applicants had also recorded recent missed credit card payments.
Norton Home Loans said it was able to consider the case at up to 80% loan-to-value, subject to the property being assessed as mortgageable through conventional sources. Following a satisfactory valuation, the loan was approved on its Optimal 1 product with a two-year fixed rate.
The case was introduced by John Charcol.
David Binney (pictured), head of sales at Norton Home Loans, said: “This case highlights our ability to support borrowers with complex requirements, particularly where property type and credit history may limit options elsewhere.
“Despite the challenges presented by the non-standard construction and recent credit blips, the overall affordability and positive valuation gave us the confidence to proceed and deliver a solution that met the customers’ needs.”
Jessica Cook, broker at John Charcol, added: “Getting this case approved with Norton Home Loans was a huge relief for the clients and myself, having been declined with three previous lenders, so even getting a DIP accepted felt like an achievement.
“Matthew, NHL’s BDM and the underwriters Sharney and Simon were so helpful throughout the case and were quick to update.
“Norton Home Loans were my only option, and I am so pleased they were able to lend on this property. The clients are now finishing their extension and renovations and are really pleased.”
WHY THE CASE STOOD OUT
The deal underlines the role specialist lenders can play where both the property and the borrowers’ recent credit profile sit outside mainstream criteria.
In this case, the construction type appears to have been a key hurdle, particularly given neighbouring unrepaired PRC homes, while the applicants’ recent payment issues would also have narrowed the available options.
For brokers, it is another example of a lender taking a manual view on valuation, affordability and overall case strength rather than relying solely on standard criteria.
