The product has been designed to suit landlord and property investor borrowers who plan to retain the property and let it out on a standard BTL basis.
Roma Finance said the product was in response to growing demand from landlords undertaking refurb-to-let projects such as build, refurbish, refinance (BRR) or buy, refurbish, refinance, rent (BRRR) to improve asset quality, rental performance and portfolio resilience.
The lender said these projects usually required a two-stage funding approach where investors used a bridging loan to acquire and refurbish a property, then refinanced onto a separate BTL mortgage.
The refurb BTL combines both into one funding solution.
Loan sizes range from £75,000 to £500,000, with a minimum property value of £100,000 and terms of 36 months.
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The refurb BRL product is aimed at projects where refurbishment costs account for up to 25% of the day one property value. The lender said that by funding the purchase and works under one facility would reduce exposure to valuation risk and avoid the shortfall that could occur when refinancing with a separate lender.
Michael Allison, commercial director at Roma Finance, said: “We are seeing more landlords focus on adding value through refurbishment rather than pursuing large-scale development. The challenge has often been finding a funding structure that properly supports this type of strategy.
“Refurb BTL gives greater assurance from day one, aligning the finance with the customer’s long-term plans.”
Allison added: “For many property entrepreneurs, building a resilient and sustainable portfolio is the priority. By removing the need to refinance onto another product, landlords have a clearer view of their end position and reduced exposure to changing market conditions.”
