ARE YOU LOOKING TO RE-BRIDGE AN EXISTING BRIDGING LOAN?
A number of borrowers often seek a bridge loan in order to refinance an existing bridge loan.
Borrowers can find themselves unable to exit bridge loans with longer term financing from traditional lenders for a whole host of reasons from contractors being delayed due to complications with building works or attaining planning permission, to wider market conditions affecting the availability of mortgages. Sometimes, it can just be down to the fact that the duration of the original bridge loan was too short.
A number of bridging lenders adopt a standardised approach and are reluctant to refinance existing bridge loans, often turning down an application before assessing each case on its individual merits.
While MTF receives a large volume of straightforward bridging finance applications every day, we take particular pride in our ability to assist brokers and applicants on trickier cases. MTF is able to re-bridge existing bridge loans.
The owner of an investment property in Henley-on-Thames was in the eleventh month of a 12 month bridge loan, but delays to refurbishments meant he was unable to complete works before the bridge loan matured.
MTF assessed the case and based on its merits provided the applicant with a £394,000 bridge loan to refinance his existing bridge, secured by way of a first charge. This provided the borrower with the time and space needed to finish the project and sell it at a substantial profit.
Whether it is a development which has stalled due to insufficient cash flow and requires additional funds to complete or an applicant who has been let down at the last minute by another lender and requires finance immediately, MTF enjoys being given the opportunity to perform and provide a solution.