What is bridging finance?
Bridging loans are characterised by:
- Short term (6-24 months)
- Tend to be quicker and can cope with riskier scenarios
- Often a useful stepping stone to achieving mainstream finance
What can Bridging Loans be used for?
- A quick purchase such as an auction
- Light touch refurbishment
- Capital raising to fund another opportunity
- To lend against an owner-occupied property that may not have stabilised accounts yet
- To lend quickly to borrowers with offshore structures
Who can apply for Bridging Finance?
We will consider lending to a wide range of borrower types. From UK nationals to offshore limited companies.
How quickly can I receive funds purchased through bridging finance?
A loan can complete in as little as a week, but three to four weeks is the average.
What are your loan terms?
Up to 3 years
What is a light refurb bridging loan?
A light refurbishment loan is generally when the works that are to be carried out on the property are non-structural.
What are acceptable security assets?
- Buy-to-let properties
- Houses of multiple occupancies (HMOs)
- Holiday-lets
- Apartment blocks, high-value single units, portfolios
- Commercial properties including; Hotels, pubs, warehouses, offices, care homes and shops
What are your fees?
- Arrangement fee from 1% of the gross loan
- Interest from 0.499% per month
- Interest can be serviced monthly or deducted from the gross loan
What is auction finance?
A property auction is generally where properties are sold in a competitive bidding environment. They are usually sold quickly and investors often find good deals. The auction house will usually demand completion within 28 days. This tight timeframe means that borrowers often require bridging finance to complete on time.
What is Ortus’ minimum and maximum loan amount on bridging finance?
From 100k to £25M
What is commercial bridging?
Commercial bridging is similar to residential bridging but is secured against commercial real estates, such as hotels, pubs and offices. Commercial mortgages are complex and can take a significant amount of time to complete. A bridge is often the best option for a purchaser that wishes to seize a fleeting opportunity.
Commercial Bridging is generally characterised by:
- Generally riskier and more complicated than residential bridging.
- Requires specialist knowledge on a specific sector
- Far fewer lenders offer commercial bridging
What can commercial bridging be used for?
- Purchasing commercial property quickly
- Capital raising on property already owned
- The purchase and a fit-out of a property (i.e, buying an empty restaurant)
How are you funded?
We are a principal lender. We have full discretion over our capital and how we lend it. This includes funds under management, banking lines and a balance sheet capability.
What type of products do you offer?
- Standard residential
- Specialist residential
- Projection led
- Commercial investment
- Complex commercial
What is your process for agreeing to a deal?
- We can quickly give an indication of pricing, based simply on a phone call or email.
- Or we can issue a credit-backed AIP in less than 24 hours.
- If the client accepts the terms we can move into legal/valuation immediately, with application forms and other procedural matters handled at the same time
- You will be assigned an individual case manager – contactable by mobile etc. We can use a large range of valuers and have extensive legal panels.
