Bridging Loans

Loans From £100,000 to £20m

Bridging Loans can be used for... Buying a property at auction

THE FINANCE BUSINESS SPECIALISE IN JOINT VENTURE PROPERTY FUNDING, BRIDGING LOANS, PROPERTY DEVELOPMENT FINANCE & COMMERCIAL MORTGAGES.

Bridging Loans are also known as short term loans and were traditionally used to enable people to buy property at auction. Quite often, auction property is not only uninhabitable, it is also unmortgageable so the only way someone would buy a property at auction was if they had cash.

Not any more.

In 2019, bridging loans are used all the time…To buy property at auction is just one aspect of their uses but borrowers also use them to buy land that hasn’t yet got planning permission, buy a farm, office, warehouse or even a hotel that a traditional mortgage lender wouldn’t lend on.

NB: If you are looking for a bridging loan for property development, visit this page

The other thing to note about a bridging loan is that they allow people with poor credit to get a mortgage. Unlike a traditional residential mortgage (which most banks and building societies offer), a bridging loan is really all about the asset…The security as it is known.

This security, in the form of land or a building, is what lenders will base their lending decision on…Not the borrower.

The last thing to note is that Natwest, Barclays and other banks do not offer bridging loans.

The Finance Business Commercial Mortgage Broker

We are the ‘goto’ finance broker for property professionals throughout the UK looking to fund residential, commercial & industrial property.

Our Bridging Loans Summary:

  • NO BROKER FEES
  • Heads of Terms from Lenders produced  the same day you apply
  • Bridging Loans from £100,000 to £20m
  • Monthly interest rates from just 0.49%
  • Loans available on residential, commercial and industrial properties
  • We can also fund farms, farmland, agricultural land in England, Wales and Scotland
  • Industrial units and industrial estates in England, Scotland and Wales
  • Land with planning up to 70% LTV
  • Bridging loans up to 70% LTV…NET
  • Interest can be rolled up (paid at the end when you sell or refinance the property), deducted from the initial loan or serviced (paid monthly)
  • Joint Venture (JV) finance
  • 100% of purchase price
  • Loan terms from 3 months to 5 years
  • Portfolio bridging available if you have a number of properties that need refinancing
  • Modular construction finance
  • Bespoke, speedy service for large bridging loans above £1m

Apply for a Bridging Loan Today

  • Bridging loans are a type of funding that allows you to “bridge the gap’ before additional, more longer term finance is available.

    Yes it is like a traditional mortgage but the major difference is, it allows toy to buy a property or land without having to worry too much about your credit history. 

    You see a bridging loan is based on the asset, in most cases property but also land.

    There are over 300 different bridging lenders in the UK (yes, 300!)…Some are major financial institutions like banks and some are specialist lenders you may have heard of like Aldermore or Shawbrook.

    However, there are literally hundreds of smaller, alternative finance lenders who generally take more risks than the big banks and this allows them to lend against unusual or unmortgagable assets.

    It could be buying a house at auction. It may be buying another property before you have sold your existing one or it may even be because you want to buy a piece of land that doesn’t currently have planning permission.

    Whatever the reason, a bridging loan can be quick and relatively simple to apply for. As most lenders are looking at the value of the security (land or property) and not you, it enables them to lend money quickly and with little fuss.

Recently Completed Loans

House refurbishment in Leicester

House refurbishment in Leicester

£1.1m Bridging Loan
70% Gross LTV
Rate of 0.65% pm
No exit fee

HMO conversion in Harrow, London

HMO conversion in Harrow, London

£626k Bridging Loan
70% NET loan
Rate of 0.75% pm
No exit fee

Office to apartments conversion Liverpool

Office to apartments conversion Liverpool

£512k Bridge Loan 
64% NET loan
Rate of 0.62% pm
0.5% exit fee

 

 

 

And a few more…

Retail unit in Formby, Merseyside

Retail unit in Formby, Merseyside

£385k Bridging Loan
65% Gross LTV
Rate of 0.95% pm
No exit fee

Industrial estate in North Wales

Industrial estate in North Wales

£2.9m Bridging Loan
60% NET loan
Rate of 0.789% pm
Fully pre-let before purchase

School to office conversion in London

School to office conversion in London

£2.6m Bridge Loan +
£1.4m Development Finance
67% NET loan
Rate of 0.75% pm

 

Apply for a bridging loan now

Latest Bridging Loan News

We have added two new long term commercial lenders to our panel of Modular Housing Construction finance.
https://www.thefinancebusiness.co.uk/modular-housing-finance/

A simple land with planning loan for £825k approved this morning in Formby along with a ground up development finance deal for £1.9m over 18 months.

We have successfully funded our 3rd land with planning bridging loan this week. More details at https://www.thefinancebusiness.co.uk/commercial-mortgages/land-with-planning-permission-2021/

https://www.facebook.com/thefinancebiz/photos/a.207111180697580/209509763791055/?type=3&av=102396674502365&eav=AfZ4Lw97uoXWvLdpOYs0l3u_wl2H1Hs3814C46tLIMJF81BthrSPC733iTXymUVxkXo&theater

Development finance rates from 0.68% pm, even if you have no experience of 'ground up' development projects #thefinancebiz #developmentfinance

Interesting property development finance deal for an overseas borrower this week. The loan was for £3.83m and involved 7 different properties...#developmentfinance #commercialmortgages

Modular construction finance is available in both short term (bridging) and long term lending (commercial mortgage)
https://www.thefinancebusiness.co.uk/modular-housing-finance/

Joint Venture Property Finance is not as difficult as you may think. Here at The Finance Business, we are not only commercial mortgage experts, we are also JV Finance specialists too #jvfinance #jointventurefunding #commercialmortgages

Still receive a lot of traffic to the Ultimate Guide to Liverpool Commercial Mortgages https://www.thefinancebusiness.co.uk/liverpool-commercial-mortgage/

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