John Bremner - Senior Specialist Short-Term Lending, Underwriting
We all know we need to do more to help the environment. Whether it’s recycling our rubbish, perhaps walking or cycling to work or simply using a refillable water bottle, we’re bombarded by messages telling us ways how we can reduce our carbon footprint.
It’s why I was so surprised to read that nearly two-thirds of UK homes are failing to meet energy efficiency standards1. Apparently more than 12 million homes in the UK are falling short of the C grade on the energy performance certificate (EPC) rating system.
It’s just over two weeks to go now until new energy efficiency rules come into force which could result in hundreds of thousands of landlords2 being hit with a fine of up to £5,000 if they fail to meet them. In case you didn’t know, from 1st April it will become unlawful to let out domestic properties which have an EPC rating of F or G to new tenants or to existing tenants who want to renew their lease.
So if you’re approached by a customer who needs to make improvements to a property to bring it up to the minimum energy efficiency standards, what options do you have?
Well, a Bridging loan could be the ideal solution. Our Bridging Finance is a flexible short-term borrowing solution for customers looking for a fast turnaround to meet tight transaction deadlines.
Our non-regulated light refurbishment products offer solutions for landlords looking to carry out refurbishments or renovations to an existing buy to let property. We accept applications for projects where building regulations are required or where there is no change to the overall use or nature of the premises, for example fitting double glazing, adding insulation or installing a new boiler.
Alternatively, if you’ve got a customer who’s considering buying a property which needs improvement work before it can be let out, our Refurbishment Buy to Let proposition could help.
Refurbishment Buy to Let brings together the flexibility of Bridging Finance with the surety of an exit onto a long-term Buy to Let Mortgage once any improvement work has been completed, providing the property meets the expected valuation following refurbishment. Not only does this give landlords the peace of mind they have an exit in place, they can also rest assured knowing that the price of the mortgage at offer will be the price they get on completion.
If you’d like to find out more about how we could help, contact a member of our Sales Team or call our dedicated support service on 0800 116 4385.