Precise Mortgages has combined its bridging products with its traditional buy-to-let products to create a ‘bridge to let’ product.
The buy-to-let element offers terms of up to 30 years, on an interest-only basis and with no valuation or legal fees,.
All Precise Mortgages bridging customers have the opportunity to switch their bridging loan into one of the lender’s buy-to-let products from month four onwards with no additional valuation or legal fees. Customers will be allowed to take the buy-to-let loan up to 75% of the property’s post works valuation so, if they have improved the value of the property, they will be able to withdraw some or all of their working capital.
Standard bridging rates apply with the buy-to-let element starting at 4.39% and the 2% arrangement fee can be added to the loan.
Precise says all intermediaries who wish to use it should visit the lender’s website to familiarise themselves with the application process. There is a bespoke process guide designed to help intermediaries.
Alan Cleary, managing director of Precise Mortgages, said: “this is what intermediaries have been asking us for and I hope we have exceeded their expectations with this product. This is great news for property investors as this will facilitate them in paying down the bridging element in double quick time, saving them potentially significant sums of money.”
Chris Fairfax, managing director of Positive Lending, added: “All bridge to let products prior to this have been fundamentally flawed; attractive initial bridging proposition followed by relatively high interest term rate.
“This product is a genuine bridge to let and I expect high conversion from short to long term as borrowers receive assurance without punitive costs.”