Choosing the right bridging loan
Finding the right bridging loan product depends on several factors including the interest rate charged, loan to value, other fees and how the loan is structured. We’re experts in crafting the perfect loan for our clients needs. We do this all day, every day and are here to help.
How do bridging loans work?
Bridging loans allow you to raise finance quickly. Here’s how they work:
Borrow up to 80% LTV
Bridging loan lenders offer loans up to 80% of the security value, with the remaining 20% being made up of a deposit, or existing equity.
Interest can be added to the loan
Bridging loan lenders usually allow you to choose between paying your interest costs monthly, or adding them to the loan, meaning you have no monthly payments to make.
Repay the loan when you’re ready
At the end of the loan term, or sooner if you’re ready to repay early, you repay the loan and any outstanding interest. If the loan is repaid early, any unused interest is usually refunded.
What factors affect the cost of a bridging loan?
How much your bridging loan will cost you will depend on several factors, the main ones are:
- Loan to value – Your LTV will impact your bridging loan rate with lower LTV loans usually benefitting from the lowest rates.
- Security type – The security offered to the lender will impact the rate you receive.
- Credit history – Borrowers with a clean credit history may qualify for lower rates.
While these factors will impact the cost of your loan, we always work with you to secure the best possible terms. On top of these factors, which impact your interest rate, other methods can be used to impact your total loan cost.
How Can I Get The Best Deal On A Bridging Loan?
Our simple process allows you to find the best deal for your circumstances in 3 easy steps:
Talk to an expert
Call us or fill in our form to get a call back from one of our bridging loan experts. We’ll talk through your situation and look to understand what you need.
We find you the best deal
We’ll then talk to lenders and negotiate on your behalf to find you the best deal. Once we have it, we’ll issue written terms to you and explain everything in simple terms.
We get started!
Once you’re happy with a product, we can start the application process. We’re on hand to help, and can handle most of the process for you.
What should I consider before taking out a bridging loan
Before taking out bridging loan, you should consider the following:
- Loan structure: How you structure your transaction can increase or decrease your interest rate, deposit amount and other charges.
- Interest rates: Bridging loan rates can vary by large amounts, getting a low rate can mean big savings.
- Loan term: How long you borrow the money over can have a big impact on whether a product is suitable.
Get started – talk to an expert
Access the whole market
We work with lenders across the market which means that we can offer the best deals to our clients and can often offer terms even if you’ve been turned down elsewhere.
Get free expert advice
Fill in the form to talk to an expert and we’ll give you a call back quickly. We’ll talk through your circumstances and advise you on the best way to proceed.
We work for you
We work for you, not the lender. Our job is to make sure that you get the best possible deal with minimal fuss by assigning you a dedicated case manager.
No broker fees
We never charge upfront fees and don’t charge broker fees for our service. Instead, we take payment from the lender once the application completes.
Meet our family management team
Although ABC Finance Limited was established on the turn of the century in 2000 there are many more years of experience involved in the business. This vast experience is the reason we are so successful in arranging finance for the rapidly growing panel of Brokers and clients nationwide who work with us. The company is a family business run on a day to day basis by the people below and all staff members are carefully selected to meet the high standards expected. Our clients and introducers will receive a friendly welcome as one would expect from a family business.
As a well-respected FCA finance broker, we put our customers’ interests ahead of our own. We work hard to ensure that we are always treating customers fairly and providing the best possible customer outcomes.
As our business continues to grow, we remain focused on maintaining our family business mentality of caring for our customers.
In an effort to raise our standards further, we joined FIBA (The Financial Intermediary and Broker Association) – membership is voluntary and designed to raise standards in the finance industry.
Peter Hemming possesses a lifetime of experience in business and commercial finance. He founded ABC Finance Ltd in 2000 and since that time has built a powerful team of specialists. We Make Finance Easy has always been Peter’s motto – to find the right finance however difficult it may appear.
Gary Hemming started his working life at ABC Finance, but then moved to London for a period of time – in doing so furthering his skills and development at some of the UK’s most established firms. He returned to ABC Finance in 2010 and now plays a vital role in the family management team.
Lee Hemming has built a wealth of knowledge and expertise within the commercial finance sector and has sat on the family management team since 2007. His advanced understanding of commercial finance ensures the entire process runs efficiently from enquiry through to completion.