There’s No Such Thing as a Vanilla Case

For years, the phrase “vanilla case” was shorthand for a straightforward deal - a clean property, a simple exit and a borrower who ticked every box. In today’s market, however, those cases are becoming increasingly rare. 

Recent bridging data shows borrowers are behaving differently. Investors are chasing yield or added value, and as such look to be moving away from simple, single AST strategies, towards refurbish-and-hold models, while demand for development exit products and lending against listed buildings is also rising sharply. At the same time, lenders are introducing more specialist products, increasing LTVs in some areas and refining criteria to accommodate increasingly varied borrower needs. 

The properties themselves are changing too. Regional house price performance is diverging, energy efficiency requirements continue to influence decision-making and more borrowers are looking at assets that require improvement, repositioning or creative structuring. 

Against this backdrop, the idea of a straightforward case feels increasingly outdated. 

A standard buy-to-let purchase might involve EPC considerations, a complex ownership structure or an exit dependent on refinancing onto a specialist product due to the borrower profile. An auction purchase case will require speed and flexibility that traditional lending simply cannot provide. Even a seemingly simple residential transaction can quickly become nuanced once the borrower's wider objectives are explored. 

At Lendco, we're seeing a market where almost every case has its own story. Borrowers are more entrepreneurial, property strategies are more sophisticated and the lending solutions required are increasingly bespoke. 

For brokers, that presents a significant opportunity. The role has evolved beyond simply placing cases that fit neatly into a box. Success increasingly comes from understanding the detail behind a transaction and recognising that complexity is no longer the exception, it's the norm. 

In the modern property market, there may still be simple-looking cases, but there are very few truly vanilla ones. Brokers who are expanding their repertoire into specialist solutions will need to make sure they have the right lender partners to support them. 

At Lendco, we work with brokers every step of the way, to make sure that the process is as simple as possible for everyone involved. If that sounds like something you would want from your lender, register as a broker today: www.lendco.co.uk/new-broker-registration

For adviser use only. Please note this content has been supplied by our lender partner and as such, is their responsibility. No party shall have any right of action against Legal & General in relation to the accuracy or completeness of the information in this article.