Foundation has highlighted a buy-to-let case where its Property Plus proposition helped a broker progress a complex landlord application.
The case involved the purchase of a one-bedroom flat in Glasgow valued at £110,000.
Foundation said the property was in a desirable area and generated rental income of £725 a month, equivalent to a 7.9% yield.
However, the application faced difficulties at valuation stage because of the property’s proximity to commercial premises, including a pub on the ground floor.
The case was revisited after enhancements to Foundation’s Property Plus proposition, developed with valuation partners Connells and e.surv.
Foundation said the updated approach enables valuers to take a more holistic view of specialist properties that may fall outside high street lending norms but still represent suitable investment opportunities for landlords.
The case was transferred onto the Property Plus product and later valued by Connells at the agreed purchase price, allowing the experienced portfolio landlord to proceed with the acquisition.
Reagan Hamilton, mortgage and protection consultant at Clear Vision Mortgages, commented: “Foundation was the only lender that met all the requirements, so when the case was initially declined on a standard product because the property was above commercial premises, I panicked as I had nowhere else to place it. Thankfully, the underwriter suggested switching to Foundation’s Property Plus range, and the application was accepted without any issues. The deal then went through smoothly.”
Fiona Roberson, regional account manager at Foundation, added: “Thanks to our enhancements to our Property Plus proposition, we were able to revisit this case and help the broker get it over the line for her client who was struggling to find an alternative home for it.”
Ben Leroy, client services director at Connells, said: “Working closely with Foundation, and seeking to support them achieving their lending goals, we were able to get this case over the line by taking a holistic and robust approach to properties that remain in strong demand among landlords.
“I believe it was Foundation’s Property Plus proposition that ultimately made the difference, which enabled them to say yes where other lenders might have declined.”
Nathan Goodridge, head of sales at Foundation, added: “This case demonstrates the value of taking a specialist view on property. Assets like this can deliver higher yields than standard buy-to-let properties, making them an attractive option for landlords looking to strengthen portfolio performance when assessed appropriately.”