Regulated bridging loan for residential property at Bank of England Base Rate + 2%

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We are very pleased to announce the launch of a new regulated bridging loan product for residential property this week, which comes with an effective monthly interest rate on this particular product of just 0.2%. This new regulated bridging mortgage  is a very special product of limited supply, which is currently available to high net worth clients only*. As well as providing the below information, we have full access to this product, so feel free to get in touch if you are interested.

The loan is ideal for:

  • “Asset rich cash and income poor” borrowers
  • Those with complex income streams
  • People who want to borrow before a short term liquidity event crystallises
  • If you are planning to upsize or downsize and don’t want to take market risk
  • If you want to release equity in your current home for other investments

Key criteria points are:

  • Minimum loan £750,000, maximum £5m
  • Purchase or remortgage
  • UK residential, owner occupied property only
  • 2-year interest only term
  • All interest to be prepaid (based on a rate of 3.99%)
  • Must be a clear and realistic repayment plan (background liquid assets, trust assets, unencumbered property for example)
  • International borrowers welcome (must have UK footprint)
  • Must have clean credit history profile

Product detail is:

  • 1.99% over Bank of England Base Rate for 2 years
  • Maximum 2-year term
  • 1.25% lender fee payable on completion
  • Maximum 65% loan to value
  • No early repayment charges
  • Interest only

The key to this product is prepaying the interest (which significantly reduces the income proof burden) and having a clear repayment strategy which reduces interest only and risk position. To find out more, please do not hesitate to get in touch. Our expert advisers will be more than happy to discuss your options and any of the above details, anytime.

*high net worth – income over £300k or net assets over £3m