How Just Mortgage Brokers Can Help You
Bridging finance is a short-term funding option intended to bridge the gap between an outlay and a more permanent source of funding being put in place. There are a number of scenarios in which a bridging loan might be required; for example, if a homebuyer wants to buy a new property quickly but there will be a gap before the sale of the existing property is completed, or if a property is bought at auction and funds need to be in place more quickly than a mortgage application can be turned around.
Some of the information contained within this page relates to indicative examples which are correct as of September 2017 – please speak to one of our expert team to discuss up to date criteria and for rates specific to you.
Bridging rates providers
Bridging rate lenders tend to be smaller, more specialist finance companies compared to the more mainstream mortgage lenders. The finance options they offer can vary; here are three examples of bridging rate providers, however many more are available in the market:
Roma Finance lends on residential, commercial and industrial properties in England and Wales. They usually lend up to 75% of the property value – although in some cases they can go higher with additional security. Roma Finance have a flexible approach to lending, and can lend to the employed, self-employed, landlords, property developers and company owners, and can also lend to partnerships, LLPs and limited companies.
United Trust Bank
United Trust Bank, which was awarded Specialist Bank of the Year in 2016, offers both FCA-regulated and unregulated loans on residential and mixed-use properties in England and Wales. They will lend up to 70% of the property value. United Trust Bank can lend to individual, corporate and trust borrowers (in the latter case, subject to personal guarantees) and aim to complete loans within “a few days”.
Shawbrook Bank offers Regulated Bridging Mortgages and again, lend up to 70% of the property value. Their two bridging products – which are split between property purchase with and without refurbishment – have no minimum term, and a maximum term of 12 months. In common with many other bridging rate lenders, interest on the loan is rolled up and repayable on exit.
Applying for a bridging loan
Due to the complex nature of bridging finance, many bridging loan providers work only with brokers, and do not deal with loan applications directly with the borrower. At Just Mortgage Brokers, we have years of experience in working with bridging lenders. Contact us today to discuss your bridging finance needs and how we can help secure the loan that is right for you.