INTEREST RATES
LOAN SIZES
LOAN TERMS
LOCATIONS
3 years (3-12 month bridging term)
Across England and Wales
£100,000 to
£3,000,000
2
From 7.99% up to 75% LTV
1
LOAN INTEREST RATES PER ANNUM
Gross loan to value:
Residential
Semi Commercial
Commercial
60%
65%
70%
75%
6.74%
7.19%
7.39%
7.64%
7.44%
6.99%
7.49%
8.14%
7.94%
8.44%
7.99%
4
8.64%
5
PRODUCT INFORMATION
HMOs & residential accommodation
Security: First charge on commercial or residential property in England and Wales (personal guarantees required)
Arrangement fee: 2.0% plus 0.5% if extended past the bridging period
Proc fee: From 1.5%
3
Loan Purpose: Purchase, re-mortgage or capital raise
Adverse credit: Three product types are offered for different credit levels (see table below)
ACCEPTABLE PROPERTIES
Retail with or without living accommodation
Offices
Purpose built student accommodation
Warehouses and light industrial units
Repayment Charges: 3%, 2%, 1% (Year 1,2,3+) or 0% if loan is repaid in last month of scheduled term
Bridging term available: The first 3-12 months of the loan term
BRIDGING PERIOD
Bridging period interest basis: Interest for the bridging term shall be retained upfront from the gross loan amount
Bridging period fixed interest rate: From 7.25% per annum (applied on a daily basis)
PRODUCT INFORMATION
Additional loading may be applied to the interest margin as follows:
Loan term available: 36 months (3-12 months initial bridging period
Repayment: Loans are offered on an interest-only basis
Affordability: 110% of monthly payment amount (monthly pay rate) calculated after using a Libor stress of 1.0%
ADDITIONAL MARGIN LOADINGS
House of multiple occupation - 0.35%
Loans under £200,000 - 0.50%
Classic and Complex credit - upon review
Prime
Classic
Complex
CREDIT PROFILE
No CCJs in the last 2 years (director or company)
All CCJs must have been satisfied at least 12 months prior to completion
No bankruptcy / IVA in last 3 years
If a company is being purchased, credit checks are applied to the acquirer and its directors
The tenant in the property must have a strong credit profile
For commercial premises, the remaining lease term should be at least 3 years unless, in the case of mixed usage property, the commercial element comprises less than 35% of the total property income
Any lease on the property should be on an arms-length basis to a third party with the rental income set at a market rate
The Property should not be deemed to be specialist in nature and should be a liquid property which would attract significant mainstream investor demand should it be marketed for sale in its current condition
Up to 2 CCJs of less than £7,000 in the last 2 years (per director or company)
All CCJs must be satisfied at the completion date (completion proceeds can be used for this purpose)
No bankruptcy / IVA in the last 3 years
Where loan repayment is based on a development / re-development proposal
Where the loan otherwise does not fit the Prime product criteria
Up to 5 CCJs in the last 3 years with a maximum value of £20,000 (per director or company) or, for owners of property portfolios worth > £2m, a maximum of 2% of the portfolio value
No bankruptcy in last 3 years
This does not constitute an offer of financing. Heads of Terms and Loan Agreements will be provided by Funding 365 Limited on a case-by-case basis. Funding 365 Limited reserves the right to amend, suspend or terminate this product at any time and without notice.
YOUR PROPERTY MAY BE AT RISK IF YOU DO NOT KEEP UP REPAYMENTS ON A MORTGAGE OR ANY OTHER DEBT SECURED ON IT.
Funding 365 Limited is registered in England and Wales. Registered address: 20 – 22 Wenlock Road, London N1 7GU. Company Number: 8488034. Sept 2019.
1. Gross LTV is calculated using the gross loan amount divided by the lower of the purchase price and valuation. Valuation is typically the OMV, although other measures may be used on a case-by-case basis. Loan interest rates outlined above include a monthly pay rate, retained interest and Libor. Minimum monthly pay rate of 4.50%. 3m Libor has a minimum level of 1% pa. Interest rates will increase during the loan term if Libor rises above 1%. Indicative pricing based on Prime credit profile. | 2. Larger loans considered upon application. | 3.Paid from arrangement fee. | 4. Only offered on residential properties where the property is deemed to be highly liquid and in very good internal and external condition. | 5. Only offered for commercial premises where a Strong Tenant Covenant exists.