Frequently Asked Questions
What is a private bank mortgage?
A private bank mortgage is a bespoke lending solution designed for High Net Worth (HNW) and Ultra High Net Worth (UHNW) individuals whose financial circumstances extend beyond traditional mortgage criteria. Rather than relying solely on salary multiples and automated affordability models, private banks take a holistic view of a client's overall wealth, including investments, business interests, trusts, overseas assets and future income potential.
Private bank mortgages are often used to finance prime residential property, investment portfolios, second homes and high-value acquisitions where conventional lenders may struggle to accommodate complex financial profiles.
Who are private bank mortgages suitable for?
Private bank mortgages are commonly used by:
- Entrepreneurs and business owners
- Company directors
- Partners in professional firms
- Barristers and solicitors
- Accountants
- Medical consultants
- Senior executives
- Investors
- Family offices
- Trust beneficiaries
- High Net Worth and Ultra High Net Worth individuals
- UK expatriates
- International buyers
They are particularly valuable where income is irregular, wealth is held across multiple entities or significant investment assets exist alongside property.
How do private banks assess affordability?
Unlike many mainstream lenders, private banks consider a client's overall financial position rather than focusing solely on annual salary.
Depending on the circumstances, underwriting may take account of:
- Investment portfolios
- Dividend income
- Retained company profits
- Bonus income
- Partnership drawings
- Carried interest
- Foreign income
- Rental income
- Trust distributions
- Existing property assets
- Liquidity and net worth
This broader approach often creates lending opportunities that are unavailable through high street banks.
What size mortgage can a private bank provide?
Private bank mortgages typically begin around £1 million, although some banks will consider smaller facilities for existing clients.
Many private banks regularly arrange lending between £2 million and £20 million, while significantly larger facilities may be available depending on the client's financial profile, security offered and overall banking relationship.
Can I obtain a mortgage if my income is irregular?
Yes. Many High Net Worth borrowers receive income through dividends, bonuses, carried interest, partnership profits or business ownership rather than a fixed monthly salary.
Private banks are generally more experienced in assessing these income structures and can often take a wider view of long-term earning capacity than mainstream lenders.
Can private banks lend to UK expatriates and overseas buyers?
Yes. Many private banks actively lend to UK expatriates, foreign nationals and internationally based clients purchasing or refinancing UK property.
Eligibility depends on factors such as country of residence, currency of income, tax residency and overall financial profile, but specialist lenders often have considerably broader criteria than traditional high street banks.
Can private banks consider trust or company ownership?
Yes. Private banks regularly work with more sophisticated ownership structures including:
- Limited companies
- SPVs
- Trusts
- Family investment companies
- Offshore structures
- Family offices
Each lender has its own approach, making specialist advice particularly valuable when selecting the appropriate funding solution.
What is Lombard Lending?
Lombard Lending allows clients to borrow against investment portfolios rather than selling those investments.
Depending on the underlying assets, borrowing may be secured against:
- Listed shares
- Investment portfolios
- Bonds
- Managed investment accounts
- Certain collective investments
This enables clients to release liquidity for property purchases, tax liabilities, business opportunities or other investments while potentially maintaining long-term exposure to their investment portfolio.
How is Securities Backed Finance different from a mortgage?
A traditional mortgage is secured against property.
Securities Backed Finance is secured against financial assets such as investment portfolios.
For some clients, using investment assets rather than property security can provide greater flexibility, faster access to capital and avoid the need to liquidate investments during unfavourable market conditions.
Should I choose a mortgage or Lombard Lending?
The answer depends entirely on your wider financial circumstances.
For some clients, a traditional private bank mortgage provides the most efficient solution.
For others, borrowing against investments through Lombard Lending or Securities Backed Finance may preserve liquidity, improve tax efficiency or reduce disruption to an investment strategy.
In many situations, the most appropriate structure combines several facilities.
Can private banks finance prime London property?
Yes. Private banks are particularly active within Prime Central London and the wider prime property market.
They frequently finance substantial residential purchases, luxury homes, second residences and investment properties where bespoke underwriting and larger loan sizes are required.
Can private banks refinance existing property portfolios?
Absolutely.
Private banks regularly refinance investment portfolios to improve borrowing terms, release equity, restructure existing debt or fund further acquisitions.
For portfolio landlords and experienced investors, refinancing can become an important part of long-term wealth management rather than simply replacing one mortgage with another.
Do I need to move all of my banking to a private bank?
Not always.
Some private banks require a broader banking relationship, while others will lend without requiring clients to transfer their day-to-day banking.
Requirements vary considerably between institutions, which is why independent advice can be valuable when comparing available options.
Why use Willow Private Finance rather than approach a private bank directly?
Every private bank has different lending criteria, client preferences and underwriting philosophy.
As an independent, FCA-regulated whole-of-market brokerage, Willow Private Finance works with a broad panel of private banks and specialist lenders to identify the most appropriate solution for each client.
Rather than being limited to the products of a single institution, we compare multiple lending strategies, structure complex applications and coordinate the process alongside accountants, solicitors, wealth managers and other professional advisers where required.
Can Willow work with my accountant, solicitor or wealth manager?
Yes.
Many High Net Worth transactions involve multiple professional advisers. We regularly work alongside accountants, tax advisers, solicitors, private client lawyers, wealth managers, family offices and financial planners to ensure the financing strategy complements wider financial and estate planning objectives.
Is there a minimum level of wealth required?
Private banking eligibility varies significantly between institutions.
Some private banks have minimum asset or borrowing requirements, while others focus primarily on the complexity of a client's financial circumstances rather than a specific level of wealth.
If private banking is not the most appropriate route, we can also recommend solutions from specialist lenders offering large mortgages and bespoke underwriting.
