Leveraging luxury and classic cars to finance property

We recently wrote on the subject of of leveraging a collection of fine art in order to secure a large mortgage; however, art isn’t the only luxury asset which can be used as security when a client is being considered for a high net worth mortgage. We also work with a lender who will allow leveraging luxury and classic cars to finance property.

The classic and prestige car market is a billion-pound industry, showing no sign of losing its appeal. Last year, a 1957 Ferrari 335 Sport Scaglietti, made £28.9million at auction, making it the most expensive classic car to be sold at auction in 2016. To date, the most expensive car to be sold at auction is a 1962 Ferrari 250 GTO which achieved £30.9million.

With classic and luxury cars consistently highly sought after and proving such a valuable asset, it’s no wonder they can provide ample security for some lenders when considering affordability on a property purchase.

We have a relationship with one lender in particular who will accept a number of classic car brands as security, including BMW, Mercedes, Bentley, Ferrari, Aston Martin and Audi. In order to ascertain the security of the asset, a number of things will be assessed; the V5 certificate of ownership, the trade value – as specified by a number of industry systems – auction history records, and a specialist will verify the trade value based on the car’s year, make, model and overall condition.  The lender will then typically lend up to 50% of the car’s trade value.

Our relationship with this lender means we are able to advise clients not only on the possibility of leveraging their sports car, but on a range of luxury assets, including jewellery, fine art, antiques watches, handbags, and fine wine. We understand high net worth individuals often have their money invested in a range of assets and don’t always ‘fit’ the affordability criteria set by lenders. As such, our wide network of lenders enables us to cater for clients regardless of how their finances (car finances etc) are structured, taking a holistic view of their portfolio in order to secure them the most preferential terms.

Written by Islay Robinson CHIEF EXECUTIVE OFFICER Enness Private

Enness Private

We arrange large mortgages secured against international property for global individuals.

You May Also Enjoy

Breaking News

Where can you still buy a home for under £150k?

Zoopla reveals Great Britain’s property bargain hotspots Just 12 per cent of all homes for sale across Great Britain are priced under £150,000 making location key for home buyers looking for a bargain In the North East, a remarkable 41 per cent of all homes for sale fall within this price range, followed by Scotland…
Read More
Breaking News

Landlord repossessions soar as Renters’ Rights Bill looms

Landlord repossessions soar as Renters’ Rights Bill looms, with some areas seeing increase of over 2,500% The latest analysis from Dwelly, one of the UK’s leading lettings acquisition and success planning experts, shows that landlord repossessions have increased by 6.8% across England and Wales. However, in some areas of the country they have soared by…
Read More
Breaking News

These are Britain’s most active housing markets

New research from The Property DriveBuy reveals that the busiest homebuying postcodes in Britain right now are found in Croydon, Buckinghamshire and Waltham Forest, however, for those hopeful homebuyers facing tough competition, shifting to a neighbouring postcode could see them secure a property. The Property DriveBuy analysed latest housing market data to discover which of…
Read More
Breaking News

Downsizers can bag 2 for 1 on property purchases

The latest research from over-50s property specialists, Regency Living, reveals that downsizing retirees could own two homes for the price of one, combining a comfortable home in England with a sunny escape in Europe. According to Regency Living’s latest analysis, retirees who sell a traditional bricks and mortar house and purchase a park home can…
Read More
Breaking News

New analysis shows majority of estate agents complete HMRC AML registration

Just 5% of branches still need to register More than 24,000 UK estate agency branches have registered with HMRC for money laundering supervision – an increase of around 2,300 branches in just over a year, according to new analysis from client due diligence platform Thirdfort. Some 24,003 estate agent branches across the UK have registered…
Read More
Breaking News

Gen Z could wait until 2044 to buy a home

Getting on the property ladder has never been tougher, and, for Gen Z, it could take up to 18 years to save a deposit in the UK’s least affordable cities, according to new research from Beswicks Legal, comparing 40 urban centres. The figures reveal that in places like Cambridge and London, Gen Z buyers may…
Read More