Product Guide

[Pages:35]Product guide

For intermediaries only

Property finance made simple

Last Updated: 08/12/2020

Meeting your clients' needs

Whatever the project, offer your clients fast, flexible specialist property finance that they can rely on. With a combination of property expertise and new technologies saving you time, get the right deal for you and your clients' ambitions.

Technology-led

By using the latest in online tools you get a quicker speed to offer and the information you need quickly, whether it is through an instant quote, online enquiry or tracking the progress of your case.

Swift and simple

Working quickly and efficiently means you can offer your clients the funding they need when they need it, with seamless transitions and support through every stage of their project.

Expertise

Underpinned by an expert team of BDMs, case managers and underwriters means every stage of your clients' journey is taken care of.

Find your product

Bridging Finance

Regulated Bridging

05

Residential Bridging

07

Commercial Bridging

08

Auction

09

Bridge-to-Let

10

Development Finance

Development

13

Development Exit

14

Buy-to-Let

Standard properties

19

Product transitions

30

Small HMO

21

Contact us

32

Large HMO

23

MUFB

25

Bridging Finance

4 | Property finance made simple

Regulated Bridging

This product is currently unavailable.

Purpose: Regulated bridging finance for chain breaks, quick purchases and light refurbishment

Key features

MAX LOAN SIZE

?3,000,000

MIN LOAN SIZE

?100,000

LOAN TERM

Up to 12 months

ARRANGEMENT FEE 2%

INTEREST METHOD

Rolled

REGIONS

England and Wales

Monthly interest rates from

50% LTV net

0.54%

55% LTV net

0.59%

60% LTV net

0.64%

65% LTV net

0.69%

70% LTV net

0.74%

Interest is calculated daily, then rolled up and added to the loan balance each month. Arrangement fees and other fees (title insurance) can be deducted from the advance or paid separately.

Criteria

PROPERTY

Residential properties only.

CHARGE

1st charge only.

TENURE

Freehold, or leasehold with 60+ years left on the lease.

SECURITY

We will accept a max of two securities for the loan, but all security provided will need to be on a 1st charge basis and we will not accept investment properties as security.

REFURBISHMENT

Light refurbishment only. Refurbishment work that requires either building regulations approval or planning permission is not allowed.

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Regulated Bridging criteria (cont.)

INDIVIDUAL BORROWER REQUIREMENTS

Must be a UK resident and have been resident in the UK for the last 3 years, or have a 3 year UK residential history and a permanent right to reside in the UK. No first time buyers allowed. Maximum number of individual applicants is 2.

INDIVIDUAL BORROWER CREDIT PROFILE

No bankruptcy/IVA in the last 6 years.

AGE

Minimum age: 21

Maximum age: No maximum age limit where sale of existing property or proceeds of probate is the agreed repayment strategy.

Wherever a refinance forms part of the agreed repayment strategy, a maximum age limit of 75 years old at the end of term will apply.

Defaults allowed: none in the past year, 1 in the last 3 years.

Missed mortgage/secured payments allowed: none in past year. 1 in the past 3 years.

Unsecured arrears allowed: 2 in past 3 years.

County Court judgments (CCJs) allowed: 1 in the past 3 years up to a maximum value of ?500 which must be satisfied prior to completion.

Criminal convictions: Not permitted unless relating to motoring offences.

AFFORDABILITY

No income or affordability proof is required where the exit is sale of the security property. Wherever a refinance forms part of the agreed repayment strategy then evidence of income will be requested.

EXIT

Sale of current property. Inheritance where a grant of probate has been issued. Remortgage provided evidence of mortgage offer is provided. Where multiple securities are used remortgage can be used in combination with the sale of another security property.

6 | Property finance made simple

Residential Bridging

Purpose: Secure a property purchase quickly, generate short-term business cash flow from an existing property, fund refurbishments and use as pre-construction finance.

Key features

MAX LOAN SIZE

?15,000,000

MIN LOAN SIZE

?75,000

LOAN TERM

Up to 12 months

ARRANGEMENT FEE 2%

INTEREST METHOD Service or retained

EARLY REPAYMENT CHARGE

REGIONS

None

England, Wales and Scotland

Monthly interest rates1

50% LTV

0.55-0.69%

60% LTV

0.65-0.79%

65% LTV

0.70-0.84%

70% LTV

0.75-0.89%

75% LTV 2

0.85-0.99%

1 The banded rates indicate the lowest and highest rates we would normally expect to quote. The higher rates may apply to certain cases, for example, non-UK borrowers, planning applications, heavy refurbishment and minor development.

2 For loans up to ?500,000 and over 70% LTV, rates are available on request

Criteria

PROPERTY

Residential, HMOs and non-standard construction properties

CHARGE

1st charge only.

APPLICANT

UK and non-UK residents and companies.

TENURE

Freehold, or leasehold with 60+ years left on the lease.

CREDIT

For credit profile criteria see the criteria page.

REFURBISHMENT

Light or heavy refurbishment, and minor development: structural, conversion or extension work that constitutes permitted development or for which existing planning permission is in place.

NEW! DESKTOP VALUATION

Restricted to 65% max LTV and max loan size: ?250,000. Speak to our sales team for details.

intermediaries | 7

Commercial Bridging

Purpose: Secure a property purchase quickly, generate short-term business cash flow from an existing asset, fund refurbishment or permitted developments and use as pre-construction finance.

Key features

MAX LOAN SIZE

?15,000,000

MIN LOAN SIZE

?200,000

LOAN TERM

Up to 12 months

ARRANGEMENT FEE 2%

INTEREST METHOD Service or retained

EARLY REPAYMENT CHARGE

REGIONS

None

England, Wales and Scotland

Monthly interest rates from

SemiCommercial

commercial

Land

50% LTV

0.79%

0.90%

0.90%

60% LTV

0.79%

0.90%

0.95%

65% LTV

0.85% On request On request

70% LTV On request

-

-

Criteria

PROPERTY

Semi-commercial, commercial and land. To be classed as semi-commercial, the residential element must account for at least 50% of the value and have separate access.

PLANNING

Residential planning applications only.

CREDIT

For credit profile criteria see the criteria page.

CHARGE

1st charge only.

TENURE

Freehold, or leasehold with 60+ years left on the lease.

REFURBISHMENT

Light or heavy refurbishment, or permitted development: structural, conversion or extension work that constitutes permitted development or for which existing planning permission is in place.

8 | Property finance made simple

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