Bridging Loans can be utilised for various purposes. They and a short term solution, typically up to 12 months, and have become a very valuable tool for investors and developers and are typically used for:
- Auction and short-deadline purchases
- Properties in an un-mortgageable condition
- Refinancing & capital raising
- Land and pre-planning sites
- Sales period and development exits
- Property flipping
- Chain breaks
Bridging typically allows interest payments and fees to be delayed until the loan redemption and in most cases there are no exit fees or penalties, meaning interest is only payable for the period the loan is outstanding. Mirwell Finance will not charge any broker fees for bridging loans above £150,000 as we are sufficiently remunerated by the lender.
These loans can be secured on a first, second or even third charge basis across all property types including:
- Freehold & Leasehold Residential
- Commercial [all types]
- Land [with or without planning permission]
Interest rates tend to vary between 0.5% – 1.0% p.m. but depending on the LTV, asset and borrower profile, rates can fall outside of these parameters.