Banks and building societies offer amazingly cheap £1m+ home loans to the wealthiest clients often at around 2.50%.
If you want to raise £1m to buy a property or re-mortgage Trinity Financial has access to a bank that offers a two-year fix at 2.54%. The total comparative cost is 3.9% APRC, and the lender’s standard variable rate is 4.04%. Incredibly the maximum loan amount is £5 million.
Monthly payments on a £1m mortgage at 2.54% will be as low as £2,166.67 on an interest-only basis, and rise to £3,792.04 when the principal is paid off in full over 30 years.
The mortgage arrangement fee is £999, and you will need a 40% deposit. Prices are marginally more expensive if you have a 15% or 20% deposit.
What about paying the remaining installments for five years?
NatWest for Intermediaries is offering a five-year flagship 2.55% fix, available for larger mortgages of over £1m. The total comparator cost is 3.9% APRC.
If you borrow £1m on a 2.55% five-year fix, the monthly payments on interest only would be £2,125, increasing to £3,977.25 to repay the principal over 30 years. This mortgage is available with interest only, and borrowers need a deposit of 40% to reach the rate. The NatWest mortgage will return to a standard variable rate of 4.49%, and early repayment fees apply.
Access to decision makers
Trinity brokers have access to specialized case managers who approve large mortgages quickly and efficiently. They can offer either full or partial interest and partial principal repayment mortgages to help borrowers reduce monthly payments while paying off some of the outstanding balance each month.
Bigger Loans With Income Extension
Aaron Strutt, product manager at Trinity Financial, says, “We regularly arrange £1 million+ mortgages for borrowers with five or even 5.5 times the income, and our brokers have access to some incredibly cheap rates. We also negotiate larger mortgage loans for clients Provided they have a 10% deposit.
“We recently took out a £1.5M mortgage agreed in four days for a client buying a new home and we have access to 25% deposit-only interest mortgages using the property sale to wealthy borrowers earning over £300,000.”
How much does a £1 million buy-to-let mortgage cost?
There is a selection of banks and building societies offering £1 million+ buy-to-let home loans at incredibly low rates.
Barclays offers brokers one of the cheapest 2-year fixed rate mortgages. The loan rate is 1.71%, the arrangement fee is £1,999 and the maximum loan size is £1 million.
After the fixed rate period, the mortgage reverts to the lender’s standard variable rate of 5.24% and the APRC is 4.7%. Since the mortgage is available with interest only, the monthly payment on a £1m mortgage would be £1,425 per month.
Trinity Financial has direct access to Santander decision makers and has a proven track record of accessing large mortgage loans. The margin between a cheaper residential mortgage to buy and rent dwindles as lenders continue to entice landlords to buy more properties or return the mortgage.