What is a bridging Loan?
A bridging loan is a short-term loan that can be secured against a property and is designed to “bridge a gap,” until longer-term finance can be arranged or an underlying security is sold. Read more about how a bridging loan can help here.
What can I use a bridging loan for?
A bridging loan can be used in a wide variety of instances. Whether funds are required for buying-to-let, purchasing a property at auction, conduct refurbishments or providing your business with capital, mtf is here to get bridging loans completed in a matter of days. Click here to see mtf’s specialities.
How much can I borrow?
mtf lends from £100,000 to £10,000,000.
How long can I have the bridging loan for?
mtf lends for a minimum of 3 months to a maximum of 24 months.
How long will it take to get the funds?
At mtf, our processes are designed to provide finance quickly. An average application takes 7-11 days to complete, but we can complete loans within a matter of days, depending on your circumstances. Click here to see our process.
What type of security do you accept?
mtf accepts security on residential properties, commercial properties or mixed residential/commercial assets. Unacceptable property types include land/ care homes/ places of worship/ schools/ trading pubs and hotels/property that is not based in England or Wales.
What are your rates?
Our rates start from 0.75% for both a first legal charge bridging loan and a second legal charge bridging loan. However, mtf evaluates each application on its own individual merits, so our pricing is flexible.
What are your repayment methods?
Our loans are structured to give you the time and space needed to fulfill your goals. Our typical loan structures include interest rolled, monthly payments, interest deducted and flexible repayments. You can read more about our repayment methods here.
Are there any upfront fees?
We have no upfront fees. The only fee which is payable in advance is the valuation fee.
Do you charge exit fees?
No. At mtf we do not charge any exit fees. Our loans are subject to a minimum 3-month term, after which you may repay the loan early or make lump sum payments, without incurring any fees.
Can I pay my bridging loan off early?
Yes. After the initial minimum 3 months, mtf does not charge early redemption penalties if you wish to pay off the loan earlier than contracted.
Will you lend on a purchase at undervalue?
Yes. mtf will lend up to a maximum of 70% LTV of the open market value or 90% of the undervalue purchase price, whichever is the lower figure.
Do you lend to first-time property investors?
Yes. MTF welcomes first-time investors.
Do I need a solicitor?
Yes, it is advised that you get legal advice. If you are looking for an independent solicitor to act on your behalf, visit our panel of pre-approved solicitors firms to get a quote.
What information will you require?
What is a non-status bridging loan?
Non-status bridging loans do not take the status of a borrower into account. mtf is a non-status lender. We will take a view on CCJs, defaults, and arrears and we do not require evidence of credit history, trading history, accounts or proof of income. Instead, we focus on the property and your future plans. This allows us to take a practical, common sense approach to lending.
What is a first legal charge bridging loan?
A first legal charge is a principal loan on a property. In the case of first legal charges, the lender takes precedence above all others; being the principal lender of the loan.
Click here to find out more about first legal charges with mtf. As an unregulated lender, mtf can provide first charge loans on properties where you and/or any family member do not live or intend to live.
What is a second legal charge bridging loan?
A second legal charge is secured against a property that already has a loan or mortgage outstanding. Second charge loans require consent from a first charge lender.
Click here to find out more about second legal charges with mtf. As an unregulated lender, mtf can provide a second legal charge on a residential property where you or family members live if it is for business purposes.