Hope Capital launches a bridge loan
Short-term specialty lender Hope Capital has launched a finishing and exit bridge loan product.
The product offers up to 75% loan-to-value (LTV), with rates starting at 0.70% per month, and is suitable for projects where development is still not complete.
The minimum loan amount on the product is Â£ 70,000 and goes up to a maximum of Â£ 5 million, which is available on residential property developments located in England and Wales.
TAB closes five loans in one day for a total of Â£ 11.4million
Loan terms are three to 18 months, with this product designed to be flexible depending on the needs and circumstances of the individual borrower and their specific project.
The new loan allows borrowers to undertake light to heavy renovation projects, with drawdowns available. Alternatively, it can be used to pay off existing finances and complete outstanding work.
Roz Cawood, Sales Director at Hope Capital, said, âThe Inbound and Outbound Bridge Loan says what it does on the tin, completing projects before release.
âWe decided to launch this product after noticing that a significant number of investors and developers needed funds to complete a development in order to repay their existing development loan.
“The bridging loan provides the borrower with a much-needed additional respite and renews any pressure to repay the outstanding principal to the lender if he is unable to do so on time.”