Turning a Small Studio Flat into a Big Opportunity
The Situation
Our clients were a couple, looking to remortgage a small studio flat they owned in the centre of Bath. At just 15 square metres, the property was compact—and located next to a takeaway.
Owned through a limited company and rented out on Airbnb, the flat didn’t meet the criteria for most high street lenders, who tend to avoid short-term lets, small units, and commercial neighbours.
The Challenge
To add to the complexity, one of the clients had recently become self-employed and hadn’t yet built up a full year’s set of accounts. That made proving income difficult, which is something many lenders require.
On top of that:
- Most set a minimum property size that was larger than this flat
- The flat’s use as an Airbnb, and its proximity to a takeaway, limited their options even further
- Many lenders won’t accept limited company applications
Our Solution
We stepped in to find a route that would work. By using a specialist lender, we were able to:
- Work around the property’s small size and location
- Accept the limited company structure
- Avoid strict income requirements during the early stages of self-employment
We secured a competitive rate and released enough equity from the remortgage to allow Alex and Amy to purchase another buy-to-let property—supporting the growth of their portfolio.
The outcome
The clients were delighted to receive a mortgage offer that many other brokers couldn’t secure.
They’ve now moved forward with their next investment and are set to grow their rental income while building up self-employed earnings.
