Response from B&C Bridge Doctor Alan Margolis, Head of Bridging at United Trust Bank.

We would look very carefully at every case where a potential borrower advises that they have bought at a discount. Put simply, the reason proffered has to make sense and be substantiated by a valuation.

But take now as an example someone who buys say 5 flats in a block at a "discount" and wants to use all 5 flats as security. The problem here is that if the loan goes wrong and the lender has to repossess, they will be looking to sell 5 flats at once and also likely to have to offer the same "discount" to sell the properties.

No matter what the LTV is - it is a necessary requirement to pay a valuation fee.

But in some cases a valuer will look at a reduced fee based on the LTV being lower.

I would say an LTV of 70% gross with a personal guarantee from a UK resident and 60% without the guarantee. This is based on a bridging loan and it would have retained interest.