Bridging Loans in London

With the fast-paced and competitive nature of the London property market, a bridging loan in London can get you the funds you need to act quickly on property purchases, refurbishments or investments.

Whether you’re looking to buy your dream home, secure a property at auction or fund a refurbishment, a bridging loan in London can give you the flexibility and speed to move forward quickly.

As a bridging lender operating in London, we know the London property market inside-out.

We don’t just provide you with funding, we are there every step of the way – able to meet locally, do site visits and connect you with our network of contacts.

We have also spent years building relationships in London. Whether it’s bridging loan brokers, agents, valuers or legal professions, we know the suppliers that can make your project a success.

We offer bridging loans with an LTV of up to 70%, for loans of up to £2,000,00.

And we act quickly, with funds able to be in your account within 2 weeks!

With Blue Square Capital, you can borrow between £250,000 and £2,000,000, with a maximum loan-to-value (LTV) of up to 70%.

We also offer interest rates starting at 0.95%, with no early exit fees.

We work with you to provide the terms that best suit your London project.

Whether you’re looking to finance residential or commercial properties, we make sure you have the capital you need to move forward confidently.

With your London bridging loan, you can finance a range of property types, such as:

Residential Homes: Perfect for buying primary residences, second homes or high-value investment properties.

Un-mortgageable Properties: Properties that aren’t eligible for mortgages such as those without kitchens.

Commercial Buildings: Ideal for office spaces and retail units.

Buy-to-Let Investments: Grow your rental portfolio by buying new properties or refinancing and refurbishing existing ones.

Development Projects: Fund new builds or conversions.

Mixed-Use Properties: Buildings with a combination of residential and commercial units.

Auction Properties: Get the funds needed to complete auction buys within their quick deadlines.

This flexibility allows you to purchase a variety of properties in the competitive London market.

To be eligible for a London bridging loan with Blue Square Capital, you’ll need to meet the below criteria:

Age: We do not provide bridging loans to anyone under the age of 18.

Security Property: You’ll need to provide a property  as security for the loan. This can include residential, commercial or mixed-use properties, but not land.

Clear Exit Strategy: We want to know everything about how you plan to repay the loan, whether that means selling the property, refinancing or other means of repayment.

Proof of Identity and Address: We will ask for standard documents like a passport or driver’s license, along with proof of address.

Property Valuation: A formal valuation of the property being used as collateral is needed to confirm its current market value.

Credit and Financial History: While we are more interested in your exit strategy than your credit history, we will still want to review it as part of the process.

Deposit or Equity: You’ll need to show proof of funds for your deposit or equity, typically up to 30%-40% of the property’s value.

We understand that when it comes to bridging loans in London, you need capital – and fast.

Once you submit your application, our team will work to give you indicative turns within 24 hours.

However, it’s important to make sure that you have all the information available upfront, so that we have all the details we need to make a fast decision.

If your application is approved, we start the legal process.

We work with a team of lawyers that know the industry, so we can aim to get the funds with you within 2 weeks.

At Blue Square Capital, we offer monthly rates starting from 0.95%, which stay fixed throughout the 15-month loan term.

Other costs to be aware of include:

• Arrangement fees (2% of the 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)

Where do you offer bridging loans in London?

We offer bridging loans in all London boroughs, including:

Do the terms change if I get a bridging loan in London’s prime areas?

Properties in prime areas like Kensington, Chelsea, and Mayfair are often more expensive, which may affect the loan-to-value (LTV) ratios.

Blue Square Capital offers bridging loans of £2,000,000 up to 70% LTV. That means the maximum property you can buy is worth £2,857,142, which may limit options in these boroughs.

Does the London property market affect bridging loan interest rates?

London has a highly competitive property market, which can have an impact on interest rates – both positively and negatively.

Properties in desirable London locations may bring down the interest rates, this is because they will be easier to sell, lowering the risk for the lender. Conversely, properties in less desirable areas may come with increased interest rates, as they will be harder to sell.

Do you offer bridging loans for London property developers?

Yes, we frequently work with London property developers on projects. This may include refurbishments, conversions or simply the initial property purchase for the project.

Can I use a bridging loan in London to buy at auction?

Yes, bridging loans are a great choice for auction buys in London due to the quick turnaround. Bridging loans can help you get the funds you need to complete the purchase within the 28-day period after a bid.