Compare Bridging Lenders

Octagon Capital works with over 30 specialist bridging lenders in the UK, allowing you to access the whole of market and get the best rates possible.

No need to get a quote from every single lender, we will speak to the lenders on your behalf so that you have one point of contact only and can get the best terms suited to you.

Octagon Capital are able to provide indicative terms on the same day you apply and we typically complete bridging loans within 10 to 28 days.

Do I Need a Bridging Lender? 

In many cases, we receive enquiries where the customer is not sure if they need a bridging lender or not – and sometimes if may be a second charge loan they require, mezzanine finance or something different altogether.

Bridging is usually used to complete on a purchase of a property or grow your business, whilst securing the loan against your asset or collateral. Bridging is usually time sensitive and one of the main benefits is that you can access funds quicker than your bank or mortgage provider.

Octagon Capital can help by understanding your particular funding need and placing you with a lender who is best suited for this.

What is The Difference Between Regulated and Unregulated Bridging Lenders?

Bridging lenders can provide regulated activity, unregulated activity or sometimes both. Regulated activity comes with extra rules surrounding credit checking and they can lend to someone who is borrowing against their primary residence.

Unregulated bridging lenders may be more flexible with bad credit histories, but the terms might be slightly different and they cannot lend against people’s homes whilst they are living there (primary residence).

Depending on your circumstances, we can help you find the right lender for your requirements. 

Do You Work With Bridging Lenders With No Credit Checks?

Most of our bridging lenders do not run a credit checks off the bat. The process will start with understanding the property that you are looking to purchase and your plans for it. We typically ask for a plan or indication of costs, whether this is purchase or land costs, construction costs and plans for exit. Based on this looking strong, there is no reason why you cannot be approved. A credit check may be run upon request by a lender or as a final bit of due diligence to ensure no recent bankruptcies or serious issues. However, you should not let your credit score or a credit check stand in the way of you getting the loan you require.

How Can Octagon Capital Help?

We are an impartial bridging loans broker who has built a relationship with 30 of the most reputable bridging lenders in the UK.

When you make an application or get in touch by phone or email, we will ask you just a few questions and be able to use our brokering system to provide you with a list of quotes and options immediately.

Should you wish to proceed, we can package up your application and put it forward for funding, helping you along the way to get the best terms and conditions.

We are passionate about helping customers find the right product for them and every quote we provide is completely free of charge and no obligation.

FAQs

What Fees Do Bridging Lenders Charge?

• Monthly interest rate (around 1%)
• Valuation fees (£500 to £1,000 based on size of property)
• Broker fee (1-2%)
• Solicitor’s fees (depends on size of project)

What is The Minimum Deposit Required For a Bridging Loan?

With the maximum LTV around 70%-75%, the minimum deposit typically required is around 25%. For example, if you were looking to purchase a property worth £1 million, you would require a minimum deposit of around £250,000. In some cases, you may be eligible for a higher LTV which could mean only paying a deposit of 10% to 20% and this could be available if you are using senior debt, equity or mezzanine financing.

Do You Work With People Who Are Self Employed?

Yes, very much so, in fact most of our customers are self-employed and you do not need to be working for a large company to be eligible. You will usually be required to provide active trading accounts of around 6 months to 2 years old, but you do not necessarily need to be in profit to get approval.

Do Bridging Lenders Run Credit Checks?

No, bridging lenders do not run credit checks in the first instance, instead looking at the condition of your property and its potential as the main basis of your loan application. Further down the line, the lender may run a credit check as part of doing some background checks. You may only have issues if you have faced recent bankruptcy, but typically bridging lenders are very open-minded to adverse credit histories.

Will Your Bridging Lenders Work With Someone With Bad Credit?

Yes, bridging loan lenders will gladly work with people with bad credit, provided that the property they are looking to use as security is valuable and has exciting potential. You will need to back up your application with strong financial plans, including costings and an exit strategy. But having bad credit alone will not exclude you from the application process and lenders will always go in with an open mind.

Can You Help With Refinancing or Rebridging?

Yes, certainly, if your loan term is coming to an end and you are looking to refinance or rebridge under new and more favourable terms, this is absolutely something that we can help with. We will always try to get you the best deal and save you money wherever we can.