Bridging Loans For Property Developers

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Why Choose Us

0 %
5-star reviews on Google
0
years we have been as independent mortgage and protection brokers
0 %
customer satisfaction for finding the best deals on the UK market
£ 0
total donated to various charities

Why Choose Us

0 %
5-star reviews on Google
£ 0
total donated to various charities
0
years we have been as independent mortgage and protection brokers
0 %
customer satisfaction for finding the best deals on the UK market

In the dynamic world of property development, having access to fast, flexible financing is crucial for every investor. Ascot Mortgages specialises in offering tailored bridging loans for property developers looking to buy and develop properties, enabling developers to kickstart projects, seize opportunities, and manage cash flow efficiently.

What Our Clients Say About Us

5.0 Based on 122 reviews from review us onLucy B. ★★★★★ Having Phil as my mortgage advisor was great from the very start! He is down to earth and speaking to him was always a pleasure. The kindness, compassion and support I have been given all the way through what can be a stressful process was immeasurable. Phil and Jardelle worked as a solid team and was able to make me feel at ease all the way through buying my first home. The team were always available and the communication between everyone was always clear and I felt safe in the hands of the company as a whole. Thank you for helping me buy my first home!Flora R. ★★★★★ I worked with Richard (Protection Adviser) for a couple of days to sort out life and critical illness insurance. Absolutely brilliant, he found me and my husband the perfect policy. Very knowledgeable and easy to get on, he definetely makes things easy to understand. Thank you for the great service provided.Matthew R. ★★★★★ I've dealt with Phil at Ascot Mortgages for a while now and Phil always comes back back to me with the right plan.Keep the good work up!rafal W. ★★★★★ I would thoroughly recommend Phil Greenwood at Ascot Mortgages ltd to anyone looking to seek advice on purchasing a home.Phil was absolutely fantastic. He made the process very smooth and easy and was always there to answer any questions I had.Shahid L. ★★★★★ This company has been truly amazing in constantly giving me the support and help i need for my mortgage and for their continuous work ethic guiding customers like myself and educating them into making the best possible decisions. My special mention goes to Phil Greenwood who deserves every single credit for his brilliant work and communication skills. The more I got to work with Phil, the more he gained my respect as he is a hugely likeable man and possibly the best mortgage advisor yet. Even after I finished my time with Ascot Mortgages, I will never lose my trust in the company and I hope they exceed their business and gain even more success and popularity.Best wishes,Shahid Latif and familyPretty L. ★★★★★ Phil helped me renew my mortgage. He was great at keeping me updated with any rate changes and secured a lower rate than at the time my mortgage went through. Thank you Ascot for your supportNikki E. ★★★★★ Huge thanks to Richard Johnson for sorting out all of my insurance policies! I had accumulated a variety of life cover and various other policies over the years that all needed a good review and refresh. Richard was extremely patient and helped me to remove the duplication and choose the best cover to suit our current needs. I have used Ascot Mortgages for over 12 years and have met several members of the team, always finding the right help and support to work through what can be a complicated and stressful time. Thanks again, Richard!Aamir R. ★★★★★ As first time buyers we had very little understanding of how to go about applying for a mortgage. Phil was so helpful in cutting through all of the formalities and helping us to decide which mortgage would be best for us also ensured we collated all the details needed and kept us up to date on progress. The process of finding the right house was very stressful but the process of choosing and applying for the mortgage and life cover has been so straight forward that, at times, we were worried it was all a bit too smooth! Thank you for guiding us through this so professionally and with real understanding and personality.Andrew T. ★★★★★ Working with Richard at Ascot has been a great experience. He listened to us and was very professional throughout. This was our first experience with Richard but we've been using Ascot now for 6-7 years. Thank you all at AscotAngie B. ★★★★★ Always give a great service and find you a mortgage in a timely fashion.Alison is awesomeAndrew M. ★★★★★ We have used Ascot Mortgages for over 5 years now and have had excellent service throughout, primarily with Alison and Kevin. Our latest dealings have been with Richard Johnson who although new to us (and to Ascot I believe) has once again provided the 5 star level of service we have come to expect. His product knowledge is excellent offering a range of options supported with consistent communication and updates, always available on the phone or on email every step of the way.Ali H ★★★★★ Excellent service, a big thanks to Natalia Barry for her excellent support with my buy to let mortgage application, Natalia was professional, transparent, and kept me informed during all the process, and thanks to Jason jones for his assistance and support.david R. ★★★★★ I have dealt with Ascot for many years now and will always go back, recently had all my insurances re done by Richard Johnston at the firm, excellent service, communication and swift actions by Richard. Great deals on all three insurances and would recommend anybody to go to Richard for help. Thanks Richard 👍Eve Alexandra C. ★★★★★ We used Ascot Mortgages to purchase a home as first time buyers, Ellie assisted us with this and went above and beyond to ensure everything went smoothly, all questions were answered, and any queries were solved.As first time buyers, myself and my partner were quite nervous and clueless as to what to expect when getting a mortgage and what not, and Ellie made this so simple and explained everything in a way that we thoroughly understood what was happening with our house buying journey, without it being pure jargon.I can't thank Ellie enough, she truly has been a star during the whole experience and is an asset to Ascot Mortgages.She is someone who I would definitely recommend to friends and family if the opportunity arises, and has made this whole experience a very stress free and exciting one!Thank you for everything Ellie!Emma W. ★★★★★ Alison helped me to get the right mortgage for my current situation and was very supportivehelen L. ★★★★★ Phil Greenwood dealt with my recent remortgage, he made sure I had the best product to fit our HMO criteria. Then chased solicitors for me and made sure I completed around the date I wanted to avoid my ridiculous rate I was about to be switched to. Thanks Phil, great job! Ready for my next mortgage now so I will be coming back 🙂Mark C ★★★★★ Excellent service from an excellent representative. Very professional and helpful company. Thank you for all your helpDamian L. ★★★★★ I recently purchased a buy-to-let from Auction and Ascot Mortgages, in tandem with Ascot Bridging Finance, supported me through the whole process. Once the property purchase via a bridging loan was complete, Ascot Mortgages worked out the best options for me, despite the Banks rising interest rates and spiralling UK inflation and managed to secure me a competitive mortgage rate for that property. I wouldn't hesitate in going back to Ascot Mortgages in the future and look forward to working with them again in the near future. Thank you for everything you've doneJuliet B. ★★★★★ Thank you to Alison for helping us and sorting out our mortgage. Swift, reliable and very helpful. Very much appreciated. God bless you abundantly 👍👌🤝gareth P. ★★★★★ Been with Alison and team for more than 25 years. Needless to say, very happy...Jo T. ★★★★★ We have been using Ascot Mortgages for the last few years and they have done 11 buy to let products for us.We have found Alison, Phil, Jason, Jardelle and the team to be excellent at finding the best product for us and to work at pace when we are buying from auction and have a deadline to meet.Communication is very good and nothing is too much troubleBen H. ★★★★★ I can't recommend Ascot Mortgages highly enough.We have used them for all of our Mortgages . They are professional and friendly and have walked us through all our options, they always have the time to talk to you and go the extra mile to get you the best deal. It wont be long till I'm calling on their services again, I wouldn't go anywhere else.If you want a mortgage, there's only one place to go!Dog J. ★★★★★ Ascot went the extra mile to help me acquire a mortgage. With the help of Jason and Ellie I was able to get a competitive rate after 3 other firms had told me they couldn't help me. Great levels of communication throughout, I would highly recommend!Ursula B. ★★★★★ Alison was very friendly and professional in securing the right bridging for us and at a very competative price. This ensured that we were able to place an immediate offer and not miss out on our forever home. Later her help and support in finally getting our completion over the line was nothing short of a miracle. I would strongly recommend both Alison and the team at Ascot Mortgages.primrose C. ★★★★★ ALISON IS BY FAR THE BEST IN THE GAME. ALL WE CAN SAY IS THANK YOU SO MUCH. They are passionate on customer service, even in my frustrated time Alison, Jadelle, Ellie I could name them all. May the good LORD BLESS YOU.js_loader

Written by:

Phil Greenwood

Ascot Bridging Expert

Last Updated:

07.10.2023

Written by:

Phil Greenwood

Ascot Bridging Expert

Last Updated:

07.10.2023

How can bridging loans help property developers?

Bridging loans serve as a linchpin for property developers and investors, offering several advantages:

  1. Quick Funding: Bridging loans ensure quick access to funds, aiding in immediate project commencement or property acquisition for those looking to buy swiftly.
  2. Cash Flow Management: They help in managing cash flow efficiently by providing the necessary funds when traditional financing options may be slow.
  3. Flexibility: With bespoke terms and adaptable repayment options, bridging finance can be tailored to suit the unique needs of each development project.
  4. Auction Purchases: Developers and investors can use bridging finance to secure properties at auctions swiftly.
  5. Renovation and Conversion: These loans can fund the renovation or conversion of properties, thereby increasing their market value for a profitable buy.

How much can I borrow with bridging finance?

The amount a property developer or investor can borrow using bridging finance for property development depends on various factors, including the project’s nature, property value, and the lender’s criteria. Typically, Ascot Mortgages offers:

– Competitive loan-to-value (LTV) ratios.

– Customised loan amounts based on individual needs and project specifications for those looking to buy.

– Transparent and straightforward fee structures.

A detailed assessment of your project and financial standing will help determine the suitable loan amount for those keen to invest.

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What interest rates should I expect to pay?

Interest rates on bridging loans vary, depending on factors such as the loan amount, term, and the perceived risk by the lender. Ascot Mortgages strives to offer competitive rates, with options including:

– Monthly interest payments.

– Rolled-up interest, where the interest is added to the loan and paid at the end of the term.

– Retained interest, allowing borrowers to retain a portion of the loan to cover interest payments.

Discussing your project specifics with our experts will help identify the most cost-effective interest rate structure for your needs.

Can bridging loans be taken out in the name of a limited company?

Yes, bridging loans can indeed be taken out in the name of a limited company. This option is particularly advantageous for property developers and business owners looking to separate personal and business finances. We can guide limited companies through the application process, ensuring compliance with all regulatory requirements and securing optimal loan terms.

How does a bridging loan differ from development finance?

While both bridging loan for property development and development finance serve the property sector, they cater to different needs and stages of property development:

– Bridging Loans: These are short-term financing options, typically used for immediate funding needs, such as purchasing property quickly or covering gaps in cash flow.

– Development Finance: This is a longer-term solution, designed to fund the entire construction and development process, from land acquisition to building completion.

Understanding the distinct functionalities of these financial tools is vital for investors choosing the right funding option for your project.

Alison Gibson

Ascot Mortgage Expert

Remortgage

Remortgaging is applied when you keep

living in your present property while applying for another mortgage deal with a new lender. Before finding out how to remortgage and get the best offers from experts like Ascot Mortgages, you have to check meeting what parameters of the deal that can help you succeed the most. The range of background factors varies a lot — from the recently changed loan-to-value ratio or your existing agreement coming to an end.

Whether you are trying to get a more beneficial deal or searching for funding to improve your home conditions, remortgaging is one of the most advantageous scenarios to consider.

Refinancing to a bridging loan from development finance

Refinancing from development finance to a bridging loan can be a strategic move for property developers. This approach can offer:

– Enhanced flexibility and adaptability to changing project needs.

– Potentially lower interest rates, depending on market conditions and project specifics.

– Access to additional funds for project completion or addressing unexpected costs.

Our Bridging Expert can assist developers in navigating the refinancing process, ensuring a smooth transition and favourable terms.

Raising capital using a bridging loan

Bridging loans are instrumental in raising capital for property developers. Whether it’s for acquiring new properties, renovating existing ones, or covering unexpected project expenses, bridging finance offers a quick and flexible solution. With our advisor, you can secure:

– Tailored loan options to meet specific capital-raising needs for buying properties.

– Competitive interest rates and transparent fee structures.

– Expert advice and guidance throughout the loan process for savvy investors.

In conclusion, bridging loans for property development are an invaluable resource for developers and investors, offering speed, flexibility, and adaptability. Ascot Mortgages, with its expertise and commitment to client success, stands as a reliable partner for all your bridging finance needs, whether you are looking to buy or develop.

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FAQ

Valuations play a critical role in determining the loan amount for property developers. They provide an accurate assessment of the market value of the property in its current state and its potential value post-development. Lenders, including Ascot Mortgages, use this valuation to calculate the Loan to Value (LTV) ratio, which subsequently influences the amount of money that can be borrowed. The LTV ratio ensures that the loan amount is proportionate to the value of the property, mitigating risks for both the lender and the borrower.

Yes, foreign property developers seeking bridging loans in the UK must meet specific eligibility criteria. These often include providing proof of identity, evidence of experience in property development, and details of the development project. Additionally, foreign developers may be required to establish a UK-based company or have a UK guarantor depending on the lender’s policies. Ascot Mortgages assesses each application on an individual basis to determine eligibility and ensure compliance with UK regulations.

Absolutely, property developers can utilise bridging loans to refinance existing debts. Bridging loans are versatile, and refinancing is one of their common uses. Developers may seek to consolidate debts or secure additional funds for project completion through refinancing. Ascot Mortgages offers tailored solutions, examining the specific needs and financial circumstances of each client to propose the most suitable refinancing options, in line with UK lending standards.

Bridging loans are instrumental in supporting property chain transactions. When property developers are part of a chain, delays can occur due to various reasons, such as a buyer pulling out or delays in obtaining planning permission. A bridging loan from Ascot Mortgages provides interim financing, enabling developers to proceed with their purchase or development without waiting for the chain to complete. This ensures continuity in transactions, preventing delays and potential financial losses, all within the bounds of UK property law. For further queries or personalised advice, please contact our expert team at Ascot Mortgages, and we will be delighted to assist you.

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