Divorce doesn’t have to end in tears with UK Property Finance


When a relationship ceases, it can be a terrible situation for all parties, both emotionally and financially. An amicable discussion about splitting assets can often bring its own complications; however, thousands every year unfortunately experience this, and January is statistically the highest month of the year for divorces and separations. Ironically, the highest number of inquiries for rental properties each year occurs on Boxing Day, which indicates some forward planning takes place.

Our client approached UK Property Finance for advice on purchasing a new property following the deterioration of her long-standing marriage. This sensitive situation is sadly one that we have seen before, and the team at UK Property Finance is well-trained in handling it.

Having found a modern 2-bedroom house within the locality of the current family residence, our client was quick to submit an offer to avoid disappointment. Starting again at this stage of life required family assistance, and our client’s parents agreed to provide a sizeable deposit to enable the purchasing process to begin. The task of finding the remaining funds was handed to UK Property Finance.

The divorce proceeding had begun and was anticipated to be lengthy and not in line with our client’s required timeframe. Fortunately, our client’s ex-husband had agreed to an amicable settlement in relation to the ex-family home and was allowing our client a larger share of the equity from the sale in return for a reduction in his monthly maintenance payments. The current property was valued by three estate agents, and after choosing the most trusted, the property was marketed for sale.

The chosen lender used the new purchase property and the ex-marital home as security for the loan. Using both properties allowed our client access to the lowest interest rates in the market. The exit vehicle being used to repay the loan was to be the sale of the ex-marital home, and the lender required a legally binding court order as proof of our client’s equity share in the sale. This enabled the loan to be taken solely in our client’s name, which satisfied the requirements of our client’s ex-partner. The court letter took 2 weeks to obtain; however, UK Property Finance used this time to achieve an offer for our client, subject to receipt of the required documentation.

The lender offered the best rate available as well as a £99 valuation fee, as both security properties were of standard construction. Overall, the process took 3 weeks to complete from initial conception and was a successful outcome for all involved, and UK Property Finance were able to negotiate a bridging loan that was flexible and tailored to the client’s needs.