Short term lending

Providing your clients with a versatile, flexible and innovative form of finance.

Short term finance has experienced huge growth year on year, which is mainly due to a lack of appetite and the tightening of lending criteria by mainstream lenders. Other lenders have diversified their product ranges to cater for almost any scenario that requires short-term, property-backed finance. This, coupled with an influx of new lenders, an abundance of funding and a willingness to fund deals, has resulted in increased competition and the lowest short term rates the market has ever seen.

Speed is essential for short term finance cases and you can rely on our team of award-winning experts to provide you with a first-class service. Not only that, our specialist divisions work alongside one another and are therefore well placed to provide exit solutions that are so key to the success of any short term finance.

Whatever your enquiry and no matter how involved you want to be with the case, we have a service that can be tailored to you and your clients’ needs and can offer access to: lenders that are not available direct, market-leading exclusives, great rates, and enhanced proc. fees.

What is short term lending?

Short term lending, also known as bridging finance, is a short term loan secured against property or land and is used to ‘bridge’ the gap, until longer term finance can be arranged or the underlying security is sold. The key to the success of short term lending is to ensure that a viable exit strategy is firmly in place upon application.

Types of finance covered in this division.

First, second and third charge loans on any type of property including:

• Residential.
• Commercial.
• Semi commercial.
• Land (with/without planning permission).

Typical client scenarios.

Your client:

• Needs to complete on a purchase before their existing property has been sold.
• Is under auction terms with short completion deadlines.
• Is purchasing a property under market value and a quick completion is required.
• Wishes to downsize and release equity in their property to allow them to complete the new property purchase prior to the sale of their existing property.
• Wishes to release equity from a property or land for cash flow purposes on a short-term basis, (e.g. tax bill, divorce settlement or business use).
• Wants to purchase a property to refurbish and it is deemed unsuitable for mortgage purposes with mainstream lenders, (e.g. no kitchen or bathroom).

Criteria overview:

• Market-leading rates.
• Up to 100% LTV available (subject to additional security).
• Terms from 1–18 months.
• Loans from £30k to £50m.
• No exit fees (in most cases).
• Interest can be retained, rolled, serviced or a combination of these options.
• Funds available in staged payments (where appropriate).
• Lending available to individuals, LLPs or limited companies.
• Light and heavy refurbishment projects.
• Auction funding available.
• Lease extensions funded.
• Lending in England, Scotland and Wales.