Providing a flexible mortgage solution through a pre-fund arrangement
A wealth planner, private bank and investment manager all-in-one.
Our clients’ wishes
We were introduced to a British client who was seeking to refinance an existing mortgage facility of approximately £900,000 with his current lender. Following a change in personal circumstances, he felt his existing provider was unable to offer the flexibility or competitive pricing required to support his evolving requirements.
The client wished to refinance borrowing secured against his UK residential property, valued at approximately £1.5 million, resulting in a loan-to-value ratio of around 60%. In addition to securing a more competitive lending solution, he sought a long-term banking relationship with a lender able to take a broader view of his overall wealth position.
Our clients’ situation
The client was a highly experienced entrepreneur with a proven track record of success across multiple international markets. Having transitioned into semi-retirement, his primary source of wealth stemmed from a sophisticated investment portfolio built over many years rather than traditional employment income.
While this type of profile can present challenges for mainstream lenders that rely heavily on conventional affordability models, a more holistic assessment revealed a strong financial position. The client’s investment portfolio consisted of approximately 30 holdings spanning the AI and FinTech sectors, with significant long-term growth potential.
In addition to these investments, the client held substantial cash reserves and interests in two property ventures expected to generate proceeds of approximately £400,000.
To support the lending proposal, the client was prepared to use a portion of these funds within a structured pre-funding arrangement. This provided a clear and sustainable means of servicing the mortgage while allowing him to focus on his investment strategy and future business opportunities.
The refinance not only delivered a competitive and flexible lending solution but also laid the foundations for a broader private banking relationship, demonstrating the value of a personalised approach to complex wealth and lending needs.
Our clients’ outcome
By taking a relationship-led approach and understanding the full breadth of the client’s financial position, we were able to structure a bespoke £900,000 interest-only mortgage over a five-year term.
The facility was arranged on a variable rate basis, providing the flexibility to make overpayments or redeem the borrowing in full without incurring restrictive penalties should liquidity events occur during the term.
To further strengthen the proposal, a tailored pre-funding solution was implemented. Sufficient funds were placed within a designated deposit account to cover future mortgage payments, together with an additional buffer to accommodate potential interest rate movements. This structure provided certainty around debt servicing while preserving flexibility for the client.
Following submission of the credit application, the facility was approved quickly, and the client was delighted with the outcome. The refinance not only delivered a competitive and flexible lending solution but also laid the foundations for a broader private banking relationship, demonstrating the value of a personalised approach to complex wealth and lending needs.
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Get in touch to find out how we can help you with your financial challenges.
Clients of Nedbank Private Wealth can get in touch with their Wealth Adviser directly to understand how wealth planning can help them achieve their financial goals and objectives, or call +44 (0)1624 645000 to speak to our client services team.
If you would like to find out more about how we can help you with wealth planning support, please contact us on the same number as above, or complete the contact us form using the link below.
Investment values can go down, as well as up, to the extent that you might get back less than you originally invested. The value of your investments may also be affected by exchange rates. The inclusion of any investment structures and wrappers is for information only and should not be taken as advice or a recommendation. You should seek the necessary advice, specific to your circumstances, before making any financial decision.
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We have helped countless high-net-worth clients with their financial needs – some straightforward, some complex. Our bespoke approach, where we really get to know our clients, allows us to offer solutions that other wealth planners and private banks aren’t able to.
Helping clients secure their dream retirement home in Spain
Supporting an Italian family with their UK property goals
Providing a corporate buy-to-let facility for a UAE-based client
US clients secure UK property for future relocation
Supporting a Joint Borrower/Sole Proprietor structure for a father and son
Helping a client expand into the ‘mixed-use’ property market
Supporting an upscale residential purchase in Jersey for a young entrepreneurial couple
US national relocates to the UK under a Skilled Worker VISA
Providing a refinance for a UK primary residential purchase for a married couple currently residing in Singapore
