Do high street banks offer bridging loans?
Some do, but bridging finance is still considered quite a niche product and so, in the main, the answer is that most don’t offer bridging loans or finance.
Bridging loans are generally offered by specialist companies, lenders and brokers, and that’s often where you’ll receive the best rates because they understand the process and the risk profile of customers who require a bridging loan.
Typical interest rates of bridging loans?
It’s important to say that, largely, interest rates for a bridging loan will very much depend on your personal circumstances, such as your credit rating and the property you’re looking to purchase or, alternatively, the security you’re offering on the loan.
Secondly, it will also depend on the length of time you’re looking to borrow as well as the amount, however, to give you an illustration of typical rates, we’ll show you different rates for different Loan To Value’s, or LTV.
For 50% LTV, you’d pay 0.45%, for 55% LTV it would be 0.49%, for 60% LTV it would be 0.54%, for 65% LTV it would be 0.59%, 70% LTV would be 0.64%, 75% LTV would be 0.69%, at 80% you would pay roughly 1.00% per month, but again these are rates that will depend you your circumstances.
Bridging loan calculator
So that you can decide whether a bridging loan is the right finance for you, we’ve put together a bridging loan calculator for you to play with, where you can change the inputs to see how things like, payment length, deposit amount, and total loan amount may affect repayments and your affordability.
This is designed to give you an illustration, so if you’d like to speak to us about getting a more detailed quote, then just pick up the phone or drop us an email.
Speak to our bridging finance brokers
Our team are ready and waiting to take your questions about bridging loans and mortgages, so why not pick up the phone today or drop us an email, and we can speak to you in a bit more detail about bridging loans.