At Foundation Home Loans, we often see landlords using refurbishment projects as a way to
improve their properties and release capital for their next purchase. Here’s a recent example of how
our green product range supports our clients at precisely the right time.
Example scenario:
A landlord purchased a two-bedroom terraced property at auction in early 2024, funding the
purchase through bridging finance. The property needed modernisation, so over the next four
months, they carried out a complete refurbishment to bring it up to a high lettable standard.
The work included:
Replacing an old, inefficient boiler
- Installing new double-glazed windows and secure external doors
- Fitting a brand new kitchen and bathroom
- Redecorating the property throughout
As part of the refurbishment, they were also able to improve the property’s Energy Performance
Certificate (EPC) rating from an E to a C — an increasingly important factor for landlords looking to
future-proof their portfolios and appeal to energy-conscious tenants.
With the refurbishment complete, the landlord needed to remortgage to repay the bridging loan
and raise additional funds for their next buy to let purchase.
How Foundation Home Loans could help:
Our green product range proved to be the perfect fit for their situation.
We could offer:
A free standard valuation — reducing upfront costs at a crucial time
- A mortgage based on the new open market value of the property post-works rather than
- the original purchase price, recognising the added value created through the
- refurbishment
- A competitively priced green product tailored to the property’s improved EPC rating
This meant the landlord could not only clear their bridging finance but also release enough capital
from the increased property value to contribute towards the deposit on their next buy to let
purchase.
The outcome:
A fully modernised, energy-efficient home that would be more attractive to tenants and
- command lower running costs
- A competitive mortgage product that supported their long-term strategy
- Released funds to continue growing their property portfolio
If you’ve clients undertaking similar refurbishment projects or seeking to enhance the EPC ratings of
their buy-to-lets, our green product range could be an ideal solution.
If you’ve got a similar case on your desk, contact your regional RAM today.