Case Study: Bridging Finance of €1m provided in Leinster
Equity Release Loan
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10 day closing achieved
At the end of Q2 2022, Onate was presented with the prospect of providing an equity release for a promoter who had committed to purchasing a non lender friendly property which was core to their future plans. Separately, the promoter was in the process of completing a high end bespoke new build in a great east coast location where they had finished 90% of the works on the property.
The main issue the borrower had was timing as they needed to ensure that they had funds to complete the purchase of this other property which they were contracted to buy by an agreed closing date.
Onate issued an approval in principle within 24 hours and the borrower signed and returned this with our due diligence fee. We moved quickly in order to ensure that the valuation was completed and the legal due diligence commenced to review the title of the property being offered as security. Despite the tight deadline, we were able to ensure that the borrower's solicitors were in funds within 10 days of engagement by the borrower.
Onate provided a facility of €1M in order to allow the borrower to purchase their next property. The new build property that Onate took as security was valued at €1.45M and is currently on the market in order to clear the facility in full. We were also able to provide an element of interest roll up to assist the borrower as the property is being sold with vacant possession.
“Onate delivered for our client under a very tight timeline and they were a pleasure to deal with throughout. Closing within 10 days from initial enquiry is extremely difficult in today’s funding environment but the team went above and beyond to ensure the client could close the transaction with confidence.
Managing to run legals, valuation & due diligence in tandem was testament to not just the lender but also the third parties involved and I wouldn’t hesitate in recommending Onate to any potential borrower or broker”
