product

Funding 365 reveals short-lease bridging product




Funding 365 has released a new bridging product targeted specifically at financing residential investment properties with short remaining lease terms.

The short-lease bridging product looks to fill the gap in the short-term lending market and comes after consultation with brokers.

The product can be used for investments where the lease terms are between 10 and 70 years, while it will also provide financing to allow the purchase of the lease extension once this has been agreed with the property freeholder.

Funding 365 revealed that loans under this product were available up to a 70% loan to value ratio for a term from three to 12 months.

Interest rate on the product starts at 0.99% per month and has an arrangement fee of 2%, however, there are no early redemption charges or exit fees.

Mike Strange, director at Funding 365, said it was excited to be bringing this new product to the bridging market.

“Funding 365 is well known for its speed of service and low interest rates.  

“Launching this new short-lease product also demonstrates Funding 365’s flexibility in financing unusual or complicated property transactions.”

Paul Weitzkorn, sales director at Funding 365, added that it had always worked with its broker partners to develop bespoke financial solutions for complex cases.

“Now, our commitment to lend on short leases and fund lease extensions provides borrowers with flexibility in a world where lease extension timing can be uncertain.  

“We look forward to working with our broker partners on delivering this product to their clients.”

Leave a comment