BRIDGING Finance LOANS IN 2025
Good news now the Bank of England have reduced the rate of interest to 4%, we should see even more borrowing / lending in the bridging loans and property development funding arena.
Opportunities
Depending on the make-up of the deal presented to the funder for bridging finance, the start to finish process could take as little as 2 weeks and on average 4-6 weeks to complete on the purchase or refinance. When a funder likes your deal making a quick decision to lend, it will be subject to valuation and legals making the process a simple straight forward experience.
Working with a Flexible Funder is a must
There is more time spent from the bridging funders viewpoint looking at the asset put forward and the exit route to redeem the loan rather than the credit history of the customer although, all things being equal, all bridge funders lend in a responsible manner and the funds can be used for a variety of reasons.
Remedies = Solutions
Bridging finance can be used in so many areas within the arena of property purchases and refinance. Having an adviser to speak to with good understanding of the market is paramount to assist you in executing the correct decisions to move you forward to success.
We have seen many funders increase their LTV Loan to Value lending to 75% and above with extra security offered.
Many funders will roll the interest into your loan meaning you have no monthly payment until the loan is redeemed and you will find that you can service the interest per month allowing you a higher capital sum from day one. It is all about providing the flexibility that customers require as this is not a one size fits all market so being flexible is a must for all parties involved. Bridging finance can be initiated by a wide variety of borrowers from homeowners, property developers, landlords and business owners. This accessibility to create a bridging loan to the individual needs of the borrower
A word from the CEO of Bridging finance now and Bridging finance capital Mark D Thomas commented –
Since the emergence and creation of Bridging finance in the 1960’s by the high street banks and now taken over by more specialised funders working within the shorter-term market place, it has grown into a phenomenal power house for both the funders and borrowers alike to have so much choice with circa well over 150 bridging finance lenders in the UK. These lenders range from large institutions to smaller, private lenders. The lending criteria and interest rates vary considerably across these lenders, making it important to compare options carefully with a good adviser who understands the market place and matching customers to the best bridging lenders out there.