Bridging Loan Criteria

It is hard to define the exact criteria for a bridging loan as it will depend upon the type of funds and lender that we use. We will need to discuss your requirements to determine the exact criteria for your loan. The following guidelines are intended to provide clients with information about the types of loans available in the market.

Criteria for each Type of Bridging Loan

Residential Bridging Loans

  • 75% Loan-to-Value is granted for the 1st charge. However, this can be increased up to 100% when additional security is provided.
  • £25,000 is the minimum loan amount which can be applied for.
  • Loan terms can be from a minimum of one day up to a maximum loan term of twelve months. This period can also be extended in certain circumstances.
  • Lowest rate for the loan is 0.59%.

Commercial Bridging Loans

  • Maximum LTV for the 1st charge loan is 50%.
  • There is no limit defined for the minimum size of the loan.
  • Term of loan can be from one day to twelve months. An extension can also be considered in some conditions.
  • Lowest rate of interest for the loan is 1%.

Bridging Loans on Land

  • 50% is the maximum LTV for the 1st charge securities based loans.
  • No limit for the minimum size of the loan.
  • Term of the loan is a minimum of one day and maximum time of twelve months. Extension in this time period can also be considered under certain conditions.
  • Interest rate for these loans starts from 1%.