Bridge loans are short-term loans intended to bridge the gap between selling one property and buying another, and are often part of a longer-term financial agreement. The bridge loan interest rate is the amount of money that must be paid to cover the loan’s costs. Interest rates on bridge loans vary from those on other kinds of loans.
We provide loans ranging from £100,000 to £5,000,000 with terms ranging from three months to 24 months. (There are other lenders on the market that provide bridge loans with varying loan amounts and terms of up to 36 months.) The loan amount is determined by the value of the property against which it is secured, and it may be up to 80% of that value.
How do interest rates on bridge loans differ?
The interest rates on bridge loans are often greater than those on other types of loans. As a result, bridging loans should only be utilised for a limited period of time.
We have access to some of the most competitive bridge loan interest rates on the market because to our large network of lenders, so we can get you the best deal possible on your bridge loan.
What bridge loan interest rate is available to me
The interest rate on a bridge loan is determined by a variety of variables, the most important of which is the property’s worth. Furthermore, each case is evaluated on its own merits, which may include criteria such as the loan’s amount, duration, and the kind, condition, and location of the property.
When evaluating bridge loan interest rates, keep in mind the entire cost of the loan, which includes the loan amount plus interest and any additional fees.
What is the procedure for repaying the bridge loan?
Each lender will have their own set of rules for repaying the loan and interest. The interest is paid at the conclusion of the contract. This offers you the time and space you need to make the most of your money. There are no exit fees or early repayment penalties if you return the loan early; you just pay the entire amount owed.
When evaluating bridge loan interest rates, keep in mind the entire cost of the loan, which includes the amount borrowed plus interest and any additional fees. In addition to the bridge loan interest rate, any additional expenses must be included. Check out our guide on how to reduce risk for your next property investment.
Get in contact if you’re searching for a bridging loan or have any other concerns about interest rates.