|
Bridging Finance
Bridging finance is a short term lending product that can help with a multitude of property purchases and transactions from helping an investor buy a property below market value to providing credit repair when someone has had credit difficulties.
We have a number of bridging products to suit most requirements including the following 3 completely exclusive products for property investors. If you would like to know more about these or any bridging product contact us.
Day one bridge
This scheme is typically used to purchase of a property below market value to avoid or minimise the need for a deposit. By purchasing the property using bridging finance, an immediate remortgage can be arranged with the Buy to Let lender based on the open market value of the property.
| LTV |
Max 100% of purchase price plus costs |
Maximum loan |
negotiable |
Interest rate |
1% (one off payment) |
Application fee |
£149 |
Minimum charge |
n/a |
Maximum term |
n/a |
Solicitors fee |
Compulsory use of recommended solicitor for purchase and remortgage-see charging schedule |
Exit penalties |
n/a |
Application criteria |
Remortgage offer ready to drawdown |
Extended Bridging Facility
Use this scheme when you require a short-term bridge for more than a one day and haven’t yet received your Buy to Let mortgage offer e.g. Auction properties or repossession property purchases.
LTV |
85% (of open market value to a maximum of 100% of purchase price plus costs) |
Maximum loan |
negotiable |
Interest rate |
from 1.25% per month |
Application fee |
£395 |
Minimum charge |
1 months interest plus application fee and legal fee |
Maximum term |
3 months |
Solicitors fee |
£350 plus vat plus the your own solicitors and legal costs |
Exit penalties |
none |
Application criteria |
Acceptable survey report
Mortgage Lender decision in principle
Bridge Application form and pre-approval |
Light Refurbishment Bridging facility
Use this scheme where your client has a full retention or where the lender will not release funds until the property is in a lettable condition. Typical works will be kitchens, bathrooms, damp proof etc of usually no more than around £10000 of work although this is negotiable on a case by case basis.
LTV |
85% (of current value) |
Maximum loan |
negotiable |
Interest rate |
from 1.5% per month |
Application fee |
£395 |
Minimum charge |
1 months interest plus application fee and legal fee |
Maximum term |
3 months |
Solicitors fee |
£350 plus vat plus the applicants own solicitors costs |
Exit penalties |
none |
Application criteria |
Acceptable survey report
Conditional mortgage offer
Bridge Application form and pre-approval
Structural defects or property not suitable for mortgages will not be considered |
We can also help with other type of bridging scenarios such as the following:
- Credit repair
- Development finance
- Longer term bridging
- Chain breaking
- Land acquisition
- Probate delays
Contact us for more information |
HOME