Short term bridging finance provides developers with new funding
Have you, as a property developer missed an opportunity because your existing funding line was tied up in property waiting to be sold? If this is the case then you can now benefit from a short term lending facility we can arrange with Shawbrook Bank. Offering short term bridging finance.
As Strategic Partners of Shawbrook, we can provide property developers and house builders with a new line of credit that is secured on properties which are completed and awaiting sale.
This new product has proved to be very popular with developers. They have used the new funds to repay existing credit facilities. And also release equity in the properties.
Developers repaid the funding with the short term loan. They were then able to utilise their development credit lines. Developing the properties much quicker than would otherwise have been possible if they were tied up in properties waiting to be sold.
Short term bridging finance can be used for other business uses as long as they are secured on habitable properties. For example, buying a property at auction or refurbishing a property.
The cheapest stand alone short term bridging finance
This is a stand alone facility. The bank isn’t looking for you to move your business current account over to them. It is in addition to your existing banking facilities, so you don’t have to be tied to them.
The key aspects of the loans are:
- Decisions within 24 hours of submitting an application.
- No minimum term and a maximum term of 18 months.
- No early redemption fees or exit fees.
- Loans up to 70% of the value of the property.
- Interest rate 0.65% per month up to 60% LTV (7.05% + 3 month libor).
- Interest rate 0.69% per month up to 70% LTV (7.53% + 3 month libor).
- Lenders arrangement fee 1.95%.