The home county of Kent sits in the southeastern tip of England and has a population of approximately 1.9 million people. Known for its rich heritage, including Canterbury Cathedral, home to the leader of the Church of England, it is also famous for the White Cliffs of Dover and its links to France through the channel tunnel. With a wide and varied economy, Kent continues to develop and flourish as a commuting county, as well as an industrial and tourist destination.
Kent is an ideal location for property development and investment; if you are looking to start or expand a property business in the area, speak to Novellus Bridging about their range of nationwide bridging loan products, ideal for property developers and owners in Kent.
What Is A Bridging Loan?
Bridging loans are often defined as stop-gap finance with a shorter application process than a traditional mortgage.
The approval process generally takes two to four weeks, although Novellus can proceed much faster than this if a loan needs to complete quickly. The loan is secured against an asset, such as property and the repayment term is usually between 6-12 months, although it can be paid back earlier if required. They are available as a closed bridge – when the date of repayment is set; or open bridge – when there is no specific repayment date set. The circumstances of the loan dictate whether it is open or closed.
What Can Bridging Loans Be Used For
Buy-to-let – As a home county, rental property is always in demand in Kent. Buy-to-let is growing as an investment opportunity and many potential landlords turn to bridging loans as the initial funding source while applying for long-term finance.
Auction Purchases – When buying at auction, a deposit needs to be paid immediately with the balance due within 28 days. Bridging loans provide access to funds quickly this allows buyers the opportunity to purchase through auctions while they apply for a traditional mortgage.
Property Investment and Development – With great links to London, property investment and development in Kent is expanding. Bridging loans provide a fast solution for property developers while long-term funding is finalised.
Are Bridging Loans Suitable For Anyone?
Anyone with a need for short-term finance can apply for a bridging loan, as long as there is a suitable asset to act as security. Individuals looking to buy at auction, or property developers working on large projects are common applicants, as are people interested in purchasing property that does not qualify for a traditional mortgage. A typical example is a building not currently classed as habitable.
Bridging loans are suitable for businesses and individuals who require finance quickly. High Street banks and building societies can take several months to process an application, whereas the decision to approve a bridging loan is quick and hassle-free. Here at Novellus we have no credit committee to answer to, which means the approval process is faster and allows us to give a quicker decision than most of our competitors.
Novellus provide unregulated bridging loans, generally between £50,000 and £5,000,000, although every application is considered. The Loan To Value (LTV) is usually 50 – 70%; however, we can discuss applications with an LTV of up to 90% in certain circumstances.
To find out what the costs of a bridging loan could be, use our online bridging loan calculator for guidance.
Can Anyone Apply For A Bridging Loan?
We consider every application on an individual basis and provide a straightforward process. Anyone can apply for a bridging loan, we have no fixed products and base each application on its merits when making a decision.
To find out if you qualify for one of our bridging loans, call us today on 0203 397 4871 or fill out one of our application forms.