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Tag: Bridging Loans

  • GB Bank Joins BDLA as New Lender Member

    GB Bank has officially joined the Bridging and Development Lenders Association (BDLA) as a lender member, marking a significant milestone for both the bank and the association. This addition brings the BDLA’s total membership to 55 lenders, collectively managing a loan book exceeding £13 billion. The BDLA continues to expand its influence within the specialist property finance sector, enhancing its capacity to advocate for sustainable growth and professionalism.

    Strengthening the Specialist Finance Sector

    Adam Tyler, CEO of the BDLA, expressed enthusiasm about GB Bank’s membership, stating, “We are very pleased to welcome GB Bank to the BDLA as a Lender Member. The Association continues to grow in both scale and influence, and the addition of another ambitious, solutions-led lender further strengthens our collective voice across the specialist property finance market.” This growth is crucial as the BDLA aims to support its members in navigating the complexities of the bridging and development finance landscape.

    GB Bank’s Commitment to the Industry

    Eddie Trahearn, CEO of GB Bank, shared his excitement about joining the BDLA, noting, “We are delighted to join the BDLA as a Lender Member and to become part of an association that plays such an important role in supporting and representing the bridging and development finance sector.” This partnership signals GB Bank’s commitment to contributing positively to the industry, ensuring that it adheres to the highest standards of transparency and professionalism.

    Impact on Borrowers and the Market

    The inclusion of GB Bank in the BDLA is expected to enhance competition within the bridging finance sector, which could lead to more favourable terms for borrowers. With the current UK base rate at 3.75% as of April 2026, borrowers may find more innovative financing solutions tailored to their needs as lenders like GB Bank seek to differentiate themselves in a competitive market. This is particularly relevant for those considering bridging loan rates as they explore short-term financing options.

    As the BDLA continues to grow, its members will likely play a pivotal role in shaping the future of property finance in the UK, advocating for practices that benefit both lenders and borrowers alike.

  • InterBay and Together Reduce Commercial and Bridging Rates

    InterBay and Together Reduce Commercial and Bridging Rates

    InterBay Cuts Commercial Rates

    InterBay has announced significant reductions in rates for its commercial investment and semi-commercial limited-edition products. The lender has lowered the rates on its two-year fixed products by 0.5% and its five-year fixed products by 0.2%. Marc Callaghan, head of commercial lending at InterBay, emphasized that these adjustments reflect their commitment to supporting brokers and clients in a rapidly evolving market. By reducing rates by up to 50 basis points across limited-edition products, InterBay aims to facilitate smoother deal structuring and enhance outcomes for investors.

    Together Lowers Bridging Rates

    In a similar move, Together has reduced rates across its unregulated bridging products by 0.05%. This adjustment is designed to improve affordability for borrowers at higher loan-to-value (LTV) tiers. The unregulated bridging products are available for loans ranging from £26,000 to £5 million, providing dual solicitor representation on qualifying cases and offering 100% funding, subject to additional checks. The starting rates for first charge unregulated residential bridging are now at 0.9%, while semi-commercial and commercial properties are at 1.04% and 1.08%, respectively. For second charge unregulated residential bridging, rates start from 1.08%, with semi-commercial and commercial rates at 1.06% and 1.1% respectively.

    Practical Impact on Borrowers

    The recent rate cuts from InterBay and Together are likely to have a positive impact on borrowers looking for commercial and bridging finance. For instance, a property investor considering a £500,000 semi-commercial property could see significant savings on their mortgage payments due to these reduced rates. With the UK base rate currently at 3.75%, these lower rates can enhance cash flow and make property investments more attractive. The focus on affordability and flexible lending options is crucial for brokers, investors, and landlords navigating today’s lending landscape.

    Market Context

    These rate reductions come at a time when the UK property market is experiencing fluctuations influenced by economic factors such as inflation and interest rates. The Bank of England’s base rate, currently at 3.75%, has been a critical consideration for lenders and borrowers alike. As lenders like InterBay and Together adapt their rates, they are responding to both market pressures and the need to remain competitive. This adaptability is essential for attracting investors who are keen on capitalising on opportunities in the commercial and bridging sectors.

  • Together Reduces Unregulated Bridging Rates by 5bps

    Together Reduces Unregulated Bridging Rates by 5bps

    Rate Cuts to Enhance Affordability

    In a move aimed at improving affordability for borrowers, Together has announced a reduction of 5 basis points across its unregulated bridging loan range, effective today. This adjustment comes as the UK base rate remains steady at 3.75% as of April 2026, providing a more competitive landscape for those seeking short-term financing solutions.

    New Competitive Rates

    With the latest changes, headline rates for first charge unregulated residential bridging loans now start at just 0.9%. For semi-commercial properties, rates begin at 1.04%, while commercial properties see a starting rate of 1.08%. Second charge products have also seen reductions, with rates starting at 1.08% for unregulated residential bridging, 1.06% for semi-commercial, and 1.10% for commercial properties.

    Streamlined Application Process

    Together’s unregulated bridging loans cater to a wide range of financial needs, offering loan amounts from £26,000 up to £5 million. The lender also provides dual solicitor representation on qualifying cases, which can expedite the application process. Importantly, 100% funding is available, making it easier for borrowers to secure the necessary capital without upfront costs.

    This strategic move by Together reflects a commitment to being a reliable partner for brokers, investors, and landlords, ensuring they have access to clear pricing and flexible lending options. Such offerings are crucial in a market where swift access to funds can make a significant difference in property transactions.

    Example Scenario

    For instance, a property investor looking to purchase a semi-commercial property valued at £500,000 could now secure a bridging loan at a starting rate of 1.04%, significantly reducing their financing costs compared to previous rates.

    FAQs

    • What are unregulated bridging loans? Unregulated bridging loans are short-term loans that are not regulated by the Financial Conduct Authority, often used for property purchases or renovations.
    • How can I apply for a bridging loan with Together? Interested borrowers can apply through brokers or directly with Together, where they will guide you through the application process.

  • Together Slashes Unregulated Bridging Rates: What it Means for Borrowers in 2026

    Together Slashes Unregulated Bridging Rates: What it Means for Borrowers in 2026

    Specialist property lender Together has announced a 0.05% rate reduction across selected unregulated bridging products as of 8 May 2026. This strategic move is aimed at enhancing affordability, particularly at higher loan-to-value bands, and offers a significant shift for borrowers and investors alike.

    Rate Reductions in Detail

    Together’s headline first charge rates now start from 0.90% for unregulated residential bridging, 1.04% for semi-commercial, and 1.08% for commercial properties. Second charge headline rates now start from 1.08% for residential bridging, 1.06% for semi-commercial, and 1.10% for commercial properties. These products are available on loans between £26,000 and £5m, with up to 100% funding available with additional security.

    Impact on Residential Borrowers

    For a homeowner with a £500,000 unregulated residential bridging loan at 75% LTV, this rate cut reduces monthly payments from £3,750 to £3,562.50 — a saving of £187.50 per month or £2,250 per year.

    Impact on Commercial Property Owners

    A commercial property owner with a £1m semi-commercial bridging loan sees their monthly cost drop from £10,400 to £10,040. This equates to a monthly saving of £360, or £4,320 annually.

    Impact on First-Time Buyers

    Consider a first-time buyer with a £300,000 unregulated residential bridging loan at 90% LTV. With the new rate cut, their monthly payments would decrease from £2,250 to £2,160, leading to a monthly saving of £90, or £1,080 per year.

    Market Context

    These rate reductions come at a time when the UK base rate stands at 3.75% as of April 2026. Compared to the base rate six months ago, which was 3.5%, the current rate indicates a rising trend. In this context, Together’s rate cuts provide a competitive edge in the bridging loan rates market.

    Comparison to Previous Rates

    Compared to a year ago, when the rates for unregulated residential bridging loans were around 1.2%, the current rates represent a significant reduction. This means that borrowers can now access cheaper financing options for their property investments.

    Direction of Travel

    Given the current upward trend of the base rate, the rate cuts by Together offer a counterpoint. This move could potentially trigger a competitive response from other lenders in the market.

    Year-on-Year Review

    Looking back over the past 12 months, the base rate has increased by 0.25%. Despite this, Together’s rate cuts represent a significant reduction in the cost of borrowing, underlining their commitment to affordability and flexibility for their customers.

    Frequently Asked Questions

    What are the new rates for unregulated bridging loans?

    The new rates start from 0.90% for unregulated residential bridging, 1.04% for semi-commercial, and 1.08% for commercial properties.

    How much can I save with the new rates?

    For a £500,000 residential bridging loan at 75% LTV, you could save £187.50 per month or £2,250 per year. For a £1m semi-commercial loan, the savings could be £360 per month or £4,320 per year.

    What is the current base rate?

    The current Bank of England base rate is 3.75% as of April 2026.

    How do these rates compare to a year ago?

    Compared to a year ago, when the rates for unregulated residential bridging loans were around 1.2%, the current rates represent a significant reduction.