My favourite short term lenderMake Text Bigger
No broker fees!
That’s always a good starter for 10 isn’t it? You can’t deal directly with this lender but we have a small panel of “strategic partner” brokers who don’t charge arrangement fees (*conditions apply).
What makes them special?
- They lend to private individuals, partnerships, companies, LLP’s, trusts and ex-pats
- Their short term loans are priced at 0.69% to 0.89% pcm and they don’t have any early repayment charges or exit fees – compare that to bridging finance!
- The property doesn’t have to be habitable and can be residential, commercial or semi commercial – they are an ideal lender to fund refurbs, flipping strategies and even re-development (e.g. funding to convert commercial properties into flats)
- They guarantee to provide a decision in principle within two working days and often do so the same day
- They will consider interest roll up subject to LTV requirements
Some additional considerations:-
- Minimum loan £50,000 and maximum £10,000,000
- They lend 70% of purchase price
- 100% of the project funding requirements will be considered subject to additional security
- Loans must be secured against UK property
- You must have a track record, e.g. having done at least one similar deal or owning at least two investment properties for at least 12 months. Experience is a major factor in their lending decisions
- Their application forms are complicated, hence they will be completed for you by one of their strategic partner brokers
- They will request quite a lot of supporting information in order to assess risk, e.g. assets & liabilities statement, proof of income, bank statements, project costings and occasionally a face to face meeting. Think old fashioned banking with a modern twist.
- Lenders fee 1.95% of loan
- Short term means up to 18 months
So who is the lender?
They are called Shawbrook Bank and have been operating in specialist lending since 2011. In 2014 they advanced over £2.3 billion and are on course to exceed those figures this year. They are considered to be one of the UK’s leading ‘challenger banks’.
How it works
Free initial broker assessment
*£995 commitment fee payable to broker once Shawbrook Bank provide a decision in principle, refunded on completion.
Complete the enquiry form below and we will be delighted to introduce you to our recommended broker.