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Castle Trust Loans

Flex Mortgage Range

A Loan with No Monthly Repayments

The Flex Mortgage is a second charge loan (first charge available on buy to let and other investment properties) that provides a range of fixed rates to suit different circumstances.

There are no monthly payments – Instead, at redemption you will repay the initial loan plus all rolled-up interest calculated using the applicable fixed rate. All fixed rates are calculated on a case by case basis and will be dependent on a range of factors, such as term and Loan to value..

The Flex Mortgage Range is designed for:

+ Buy to let clients
+ high net worth*
+ homeowners who want to borrow for business purposes

Flex Mortgage Range products:

Flex 3, 12 and 24

  • Flex 3: This offers shorter term finance as an alternative to a conventional bridging loan. With a fixed rate for a 1 or 2 year term with a 5% Early Repayment Charge during the first 3 months only.
  • Flex 12: A fixed rate for a 1 or 2 year term with a 5% Early Repayment Charge that only applies in the first 12 months.
  • Flex 24 A fixed rate for a minimum term of 2 years and a maximum term of 5 years with a 5% Early Repayment Charge that only applies in the first 24 months. The Flex 24 has a lower interest rate than Flex 3 and Flex 12

With this product you can borrow up to 65% of the property value on a first charge basis. On a second charge you can increase your borrowing (combined including any 1st charge lender) to a maximum 82.5% LTV including rolled up interest determined on a case by case basis.

This unique product is designed to help you raise capital on your property, which can be used for a number of legal purposes including:

  • If you are a landlord, it can help you expand your portfolio
  • To invest into your business
  • To help buy a second home

A pre-determined rate of interest is set at the outset of the loan with interest rolled up to the end of the term where it is paid along with the initial loan amount. Each loan is bespoke and interest rates are based upon the loan to value and term of the loan.

What else do you need to know?

  • You must repay the loan by the end of the term. If you have not repaid the loan by the end of its term and either do not have sufficient savings or are not able to arrange another mortgage, then you will need to sell your property.
  • The cost of the loan may be significantly more than a traditional mortgage.
  • An Early Repayment Charge is applicable and will be detailed on your loan illustration document

Please also ensure that you read the Pre-Sales Loan Illustration should you decide to apply for a Flex Mortgage.

Flex Refurb to Let

A Loan with No Monthly Repayments

If you want to raise capital for a light refurbishment on your buy to let property, then here is an innovative new solution: This can be used to help add some value to the buy to let property or increase the rental yield.

There are no monthly payments. Instead, at redemption clients will repay the initial loan plus all rolled-up interest calculated using the applicable fixed rate.

Flex Refurb to Let allows landlords to raise capital on property in need of improvement or refurbishment. Provided no planning consent is required, the work proposed can include roofing, rewiring, plastering, new bathrooms & kitchen etc. It’s a short term solution allowing for the property to be refurbished to a standard where it can be remortgaged to a conventional Buy to Let lender.

  • This offers shorter term finance on a 1st charge basis. 1 year term and rates are typically 0.79% per month. Early Repayment Charge only applies during the first 3 months

Flex to Buy – Hunting License

A Loan with No Monthly Repayments

Perfect for investors who want to move quickly when an opportunity arises – secure in the knowledge that they have a pre-agreed facility in place.

Flex to Buy is designed for property investors who want to be ready to buy new stock quickly when the opportunity arises – at an auction for example. It gives active investors an ability to sign contracts at the drop of a hat, secure in the knowledge that they have a pre-agreed facility in place.

  • This offers a solution where you want the funds in place without drawing down until needed, its available on a first and second charge basis for loans from £250000 to £5M and up to 70% of the existing property value (including rolled up interest )

Limited company (Ltd Co) Buy to Let and HMO (houses in multiple occupancy) are acceptable in principle.

* Subject to Being a High Net Worth applicant – An applicant (or, in the case of joint applicants, one of the applicants) must meet the Statement of High Net Worth criteria by having (at the time of application)

For more information please contact one of our Castle Trust accredited Mortgage Brokers.

Disclaimers:
Loans are subject to status, terms and conditions. Your property may be repossessed if you do not keep up repayments on a mortgage or any other debt secured on it.
Castle Trust is the trading name of Castle Trust Capital plc, which is authorised and regulated by the Financial Conduct Authority.
Registered in England & Wales. Company number 07454474. Registered office: 10 Norwich Street, London EC4A 1BD.
Most buy to let mortgages are not regulated by the Financial Conduct Authority

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