Traditional Bridging Finance
The Traditional Bridging Loan is designed for property purchases - in particular at auction.
At outset Paxton Private Finance can lend, net of all fees and interest charges over an initial maximum term of 12 months, up to 75% of the current open market value and not the contract price. If the intention is to refurbish the property and the borrower is able to demonstrate that they have funds to compete the building works then we can consider a higher gross LTV. The term may be extended or renewed subject to refurbishment progress. After the first month, interest is charged on a daily basis. Typically, no exit fee is charged. The maximum loan for this product is £1,000,000. Loans outside the normal parameters will also be considered case-by-case.
Loan-to-Value: | Up to 75% gross of current open market value |
Loan Size: | Minimum loan size £100,000; maximum loan size £1,000,000 |
Interest Rate: | From 1.00% per month |
Charges: | 2% arrangement fee, typically no exit charge |
Loan Term: | Minimum loan term of 1 month, typical term 12 months (may be extended) |
Borrower: | Individuals and UK companies only |
Security: | 1st legal charge, plus Directors guarantees |
Location: | London and the Home Counties |
No Upfront Fees, Non-Status, No Accounts Required, Freehold/Leasehold, Semi‐Commercial Considered, Auction Purchase, Competitive Valuation & Lenders Legal Costs, Interest & Charges Deducted From Loan Proceeds.
For further information please contact our underwriting team on 020 7692 0635 or email