Thomas Oliver is a high-net-worth mortgage specialist
Friday 20 August, 2021
Vishal Gulrajani, is a high net worth mortgage specialist in Hertfordshire, London and Cheshunt reviewing the benefits of seeking mortgage advice for anyone wanting a million-pound mortgage.
The Thomas Oliver mortgage broking team is used to working with high-net-worth clients to organise million-pound mortgages, saving their clients time and money. So, if you want a million-pound mortgage call our team on 01707 872000 for expert mortgage advice.
The advantages associated with high-net-worth mortgages
Now we all have ambitions to have a high-net-worth status and be able to get a million-pound mortgage, and in the mortgage world there are some unique criteria and certain preferences given to individuals looking to obtain large mortgage loans of £700,000 and above. Obviously, banks will obtain more money with bigger loan sizes hence they are interested in issuing high net worth mortgages and do a bit more for these individuals unlike normal mortgages which are very much system based.
Pre-approval can be obtained before you search for a property
Firstly, Thomas Oliver as a high-net-worth mortgage specialist can approach mortgage lenders on a more direct basis and get pre-approval from an underwriter before you go and search for properties. For some lenders this will start at £700,000 but others will have a minimum of £1,000,000, but as a high value mortgage broker Thomas Oliver has options that mean you can go out and search for a property knowing you have already been approved and the case is effectively subject to a valuation, providing nothing has changed. Please note many people are unaware of this feature and this is very different from an agreement in principle which is essentially just a credit check.
Greater flexibility in your repayment options
Secondly when going for such a large loan size it means the income is generally substantial which also gives us greater flexibility in repayment options. Generally, lower loan sizes don’t meet our interest only criteria for residential mortgages. However, when we are looking at big loan sizes you can have the option of an interest only payment or do a part and part repayment option. Obviously, when we are discussing high net worth mortgages, we would also need to discuss what the plans of repayment are but commonly lenders will know individuals can downsize before retirement and pay off their mortgage due to the substantial amount of equity remaining in the property.
Use a high value mortgage broker who considers your total income not just salary and dividends
Finally, income is not usually derived in a PAYE form for individuals with substantial income who are looking for loans of this size. Understandably your typical mortgage lender that is system based will not be able to assist you.
How Vishal Gulrajani saved a high-net-worth client time and money when organising his high-net-worth mortgage
One of the best examples of how our Thomas Oliver mortgage broking team assisted our client who wanted a million-pound mortgage is a recent client referred to me two weeks before completion. He was going to proceed with a bridging loan of £1 million as he was told by his bank, he could only obtain a £250,000 mortgage. However, this bank only looked at his salary and dividends which were worth £50,000. He didn’t understand this approach as he generated more than £1 million profit in his latest company year. After speaking to me I managed to get him the loan size he required. He could have borrowed £3.6 million with the lender we used if he had wanted to because of the different approach they used in their assessment. This mortgage completed within the two-week period due to my connections and saved him well over £8,000 per month compared to the alternative bridging loan.
Overall high net worth mortgages are treated differently and even have the option of exclusive rates, a wider choice of payment options and greater flexibility which is why it is imperative you speak to a specialist high net worth mortgage broker to understand your different options. Most mortgage lenders will automatically make you a premier customer which also gives you greater benefits and at Thomas Oliver we have developed the connections with each lender to help prioritise your application and make sure you get the service your loan size warrants. High net worth mortgages are complex which is why you need mortgage brokers like us that understand the different processes and procedures involved. If you need high net worth mortgage advice call our mortgage broking team now on 01707 872000 and get a free initial mortgage consultation.