Property finance

Property financing, treated with the weight it deserves

The longest commitment most people make, secured on the asset itself. We set out the process, the documentation and the risks before anything is signed.

Discuss a property project

What property finance means

Property finance is secured lending: the property itself stands behind the agreement. That security is what makes long terms and larger amounts possible, and it is also the reason the consequences of default are more serious than with unsecured credit.

Assessment is correspondingly thorough. Alongside income and affordability, a lender examines the property, its value, its legal title and its condition. The process takes longer than any other product for that reason.

Project types

  • Residential purchase

    Buying a home to live in, as a first purchase or a move.

  • Refinancing

    Replacing existing property finance, usually to change term, structure or cost.

  • Commercial property

    Premises used by a business, or a mixed-use building.

  • Investment property

    Property held to let, assessed on rental income as well as personal affordability.

  • Renovation

    Major works funded against the property, often released in stages.

  • Land and development

    Specialist cases assessed individually, subject to availability.

The property finance process

  1. Initial review

    Project, budget, deposit or equity available, and timing.

  2. Affordability assessment

    Income, commitments and resilience to a change in rates or circumstances.

  3. Documentation

    Personal, financial and property documents collected together.

  4. Valuation

    An independent valuation of the property. This protects the lender, not the buyer.

  5. Legal review

    Title, charges, planning and any restrictions examined by legal advisers.

  6. Offer and completion

    A formal offer, then completion and registration of the security.

Geometric grid of office windows on a glass tower

What to think about before committing

These questions matter more than the headline instalment:

  • Could you still meet the payments if the rate rose materially?
  • Have you budgeted for taxes, legal fees, valuation and moving costs?
  • Is the term realistic against your expected working life?
  • What happens if the property falls in value?
  • For a let property: could you cover a period with no tenant?

Documentation

  • Photographic identity and proof of address.
  • Income evidence: payslips, tax returns or business accounts.
  • Bank statements covering a recent period.
  • Evidence of the deposit and its source.
  • The purchase contract or preliminary agreement.
  • Title documents and land registry extract.
  • Energy performance certificate where required locally.
  • Rental agreements and rent evidence for a let property.
  • For renovation: plans, permits and contractor quotations.

Risks of secured borrowing

  • Your property may be repossessed if you do not keep up repayments.
  • On a variable rate, the instalment can rise substantially over a long term.
  • Property values can fall, leaving a balance higher than the asset is worth.
  • Early repayment may carry costs, depending on the agreement and the law.
  • Currency risk applies where income and loan are in different currencies.

Property finance questions

How much deposit is needed?

Deposit requirements are set by product rules and by regulation in the country where the property is located. They are confirmed to you before an application proceeds.

How long does it take?

Property cases take longer than any other product because of valuation and legal work. Timescales depend on the country, the property and the parties involved.

Do I need my own legal adviser?

In most jurisdictions a purchase requires a notary or a lawyer, and their role is separate from the lender. Independent legal advice is strongly recommended in every case.

Is the valuation a survey?

No. A lender valuation assesses whether the property supports the security. It is not a condition survey and should not be relied on as one.

Can I finance a property in another country?

Cross-border cases depend on availability, local law and currency considerations. Ask before assuming a project is possible.

Can I overpay?

Overpayment terms vary by agreement. Any limits or compensation are set out in your pre-contractual information.

Start the conversation early

Property projects reward early preparation. Tell us about yours before you commit to a purchase timetable.

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