Signature’s reputation as a reliable short-term property finance provider has allowed them to consistently add new clients to their extensive portfolio, supporting some of the UK’s most established firms in years gone by.

With in-depth knowledge of all aspects of the property market, Signature’s in-house team have the tools and resources needed to support clients on a wide range of projects, tailoring deal terms to meet the unique needs and requirements of each client.

With this in mind, Signature was recently approached by a highly experienced firm that had an existing residential investment portfolio worth £1.275 million. The client had previously identified two semi-detached properties located next door to each other, both of which were placed on the market by a private seller for £200,000 each.

Through an off-market transaction, the client had already secured the first of the two properties and now required a gross loan of £150,000 to purchase the second home, with a view to completing a full and thorough refurbishment there.

Given the seller’s position as the previous owner of both properties, the deal was structured in a way that would ensure the sale of one at a time, allowing the individual to continue living at the property until they were ready to permanently move. As such, renovation works had already commenced at the other property and this latest deal would mark the start of the second stage.

Once acquired, the client planned to undertake a full refurbishment at the three-bedroom property.

Upon completion, the property was estimated to be worth £350,000, highlighting a serious opportunity for the developer to make a healthy profit. These estimations were further supported through a comparative analysis of nearby properties – an area that boasted a vibrant property market, with homes usually selling within two months of being listed.

Given the clear potential of the project, Signature wasted no time in conducting a thorough review of the client’s background and credit, ensuring they had the security needed to follow through with the project and follow the proposed exit route. Of course, the client’s 25 years’ experience of buying and selling in this specific market meant there was no real cause for concern and Signature were happy to offer their support.

As such, the full £150,000 loan was provided on a 12-month term, which would be repaid once the refurbished property had been marketed and sold. This was well within Signature’s policy and was deemed to be a risk-free deal given the client’s experience and the ongoing demand for affordable housing.

Bob Stones, Relationship Manager at Signature Property Finance, commented:

“This deal is yet another example of our steadfast commitment to supporting clients of all experience levels, providing important funds on mutually beneficial terms.

“In this case, the client’s proven track record spoke for itself, which made the decision to lend an easier one, especially as the first part of the project had already concluded without the occurrence of any issues.

“With extensive experience of buying, renovating and selling properties in the local area, we felt confident that the client not only had the means to follow the proposed exit strategy, but would maximise the return on investment as detailed in the plans.

“With this in mind, we were happy to provide the full loan amount and we’re very much looking forward to seeing the finished property once the work has been completed.”

The developer added:

“Working with Signature has been a breath of fresh air – they have been extremely supportive from start to finish, leaving no stone unturned in their efforts to agree a deal.

“Rather than following a ‘one size fits all’ approach, they took the time to fully understand the scope of the project, tailoring the deal so that it worked with our strict time and budget requirements.

“For this reason, I’d highly recommend their services to other clients looking for short-term property finance – they certainly live up to the strong reputation that they’ve built.”