100%+ finance provided by Bridging loans
If you are looking to acquire a property with a Bridging loan and need 100% or even greater than 100% to cover acquisition costs or renovation costs, it is possible to obtain this level of funding with a Bridging finance.
If can be acheived by either buying the property at below it value or it will require security over a second property with enough equity in this second property to provide the comfort to the lender that a deposit would have done previously.
Example of a case when a second property was offered as security
Customer wants to buy a property for £250,000 plus £25,000 to cover stamp duty, legal fees and some renovation costs. The total borrowing required is £275,000
The property is valued at £250,000 and therefore the maximum the customer could borrow would normally be 75% which would be £187,500.
The customer offers a second property that they own which is valued at £300,000 and only has a £175,000 mortgage on it.
The Bridging loan can be provided for the full £275,000 which represents 110% of the purchase price with a second charge over the secod property.