A bridging loan amount of £250,000 over 15 months at 0.95%, the customer would pay an average of £2,590 per month and a gross loan repayment of £293,856.

We offer bridging loans with a maximum LTV of 70%, therefore you will require a 30% deposit minimum of the entire property value.

Scenario 1: If you are looking to purchase a property worth around £360,000, you will be responsible for paying a deposit of around £90,000 (30%) and the remaining £250,000 (70%) can be covered by a bridging loan.

Scenario 2: If you are looking to purchase a property worth around £430,000, you will be responsible for paying a deposit of around £130,000 (30%) and the remaining £300,000 (70%) can be covered by a bridging loan.

Bridging loans can be used for:

• Buying property under a tight deadline (in 1-4 weeks)
• Buying a property at auction (see auction finance)
• Buying a property for refurbishment to sell later at a higher value
• Buy a property to rent out to tenants and then move to buy to let

Blue Square Capital can assist with funding for:

Residential property, Semi-Commercial Property, Retail Units, Shops, Warehouses, Garage Units, HMOs, Land With Planning, Offices, Property in Poor Conditions and Pubs.

Yes, we offer bridging loans up to £2 million which can be used for residential and commercial properties purchases. 

The amount you can borrow will depend on your deposit, loan-to-value (we offer a maximum of 70%), the property value, your plans, exit strategy and more.

Yes, you can use a £250,000 bridging loan if you are looking to purchase a property at an auction.

When buying properties at an auction, you need to pay 10% on the day that the bid is won and you will have 28 days to pay the remaining 90% or you risk losing the deal.

Blue Square Capital will be able to provide up to 70% of this amount, so you will need to use savings, income or other capital to complete the remaining amount.

It is always sensible to arrange your auction finance requirements before going to auction, so you know exactly how much you can bid and what are the best commercials for you to move forward.

Blue Square Capital offers rates starting from 0.95% per month which remains fixed through the loan term of up to 15 months.

Other costs may include:

• Arrangement fees (2% of loan amount)
• Bank transfer fee (£25)
• Admin fee (£999)
• Valuation and survey fees (depends on property)
• Solicitor fees (depends on project)
• Exit fees (n/a)

Are You A Lender Or A Broker?

We are a bridging loans lender and we will underwrite the loan application and transfer funds directly to you. 

Do You Offer Regulated Or Unregulated Bridging Loans?

We operate in the unregulated bridging finance sector which means that we will not lend to someone’s primary residence. Being unregulated means that we can offer faster decisions and more flexibility with the terms we provide.

Can I Apply With Bad Credit?

Yes, we will take a view on customers with bad credit histories. To be eligible, we consider the property that you are looking to purchase and its potential. We encourage applicants to have good cost estimations, plans and a strong exit strategy to proceed.

Are The Funds Transferred In One Lump Sum Or In Tranches? 

Bridging loans are funded in one lump sum to help make you a cash buyer and secure the property as quickly as possible.

If you are doing building work, we can discuss distributing the funds in multiple payments, known as tranches. 

What Happens At The End Of The Loan Term?

At the end of the loan term, which is a maximum of 15 months, you should be looking to pay the entire loan and interest in full. 

To repay the loan, it could be upon the exit or sale of the property you have purchased.

For those renting out the property to tenants, you may convert the bridging loan into a buy-to-let mortgage.

If you wish to have more time to repay, you might look at refinancing under different terms, subject to further checks.

Could My Property Be At Risk Of Repossession?

The property you are purchasing is used as security and may be at risk of repossession if you are unable to repay your loan. For lenders, this is typically a last resort and highlights the importance of planning and having a strong business plan in place.