The Money Hub

Commercial Bridging Loans If you are a property developer and looking to purchase a commercial property, a common question I am asked is 'how much can I borrow using a bridging loan, so here is a quick guide quotation. PV £600,000 Rate @ 0.99% per month Term 9 months NET Loan Day One £381,700 (63%) GROSS Loan £428,400 – This is how much you would pay back if you kept the loan for the full term including lender associated fees and rolled up monthly interest. Other separate fees to be aware of: Valuation fee / Legal fees for you and the lender / Broker Fees / Auction Fees. Obviously this is just an estimate and subject to change depending upon your experience / the property / your plans with the property / deposit you will be putting down etc. If you have additional security to use, such as a Buy to let property with lots of equity, we could borrow against this also to reduce down the deposit you need to put in. If you would like any further information about bridging loans – please get in touch. Schedule a Call: https://bit.ly/2VOv9tS Website: https://lnkd.in/dUPWQwDi YOUR CAPITAL IS AT RISK IF YOU DO NOT KEEP TO THE TERMS OF YOUR AGREEMENT THE MONEY HUB LIMITED ARE A LICENSED CREDIT BROKER AND NOT A LENDER.

Your guide to buying properties at Auction Learn how to raise money to purchase properties at auction. I talk in detail about: ✅ Types of Auctions - Traditional and Modern Method ✅ Types of Prices at auction you see ✅ Key features of bridging finance ✅ Example bridging finance quotes ✅ Bridiging finance exit strategy ✅ Permitted Development ✅ Key points to consider before making a bid Watch the video here: https://lnkd.in/e76E78pF If you would like more information about bridging loans, you can contact me at: Schedule a Call: https://bit.ly/2VOv9tS Website: https://lnkd.in/dUPWQwDi YOUR CAPITAL IS AT RISK IF YOU DO NOT KEEP TO THE TERMS OF YOUR AGREEMENT THE MONEY HUB LIMITED ARE A LICENSED CREDIT BROKER AND NOT A LENDER.

🏠 SECOND CHARGE BRIDGING LOANS This could be an ideal solution, if you are looking to raise money short term on a property and you want to keep the existing mortgage in place. Reasons to take out a 2nd charge bridging loan ✅ You have a mortgage in place which is at a low rate, so you don't want to change this ✅ You only need to borrow for the short term, so no need to completely refinance ✅ You have early redemption fees with your current mortgage We could help with ➡️ Raising finance on residential property and some commercial property ➡️ Up to 70% LTV (Residential property) ➡️ No early redemption fees ➡️ Typical lender fee is 2% ➡️ Loans from £26K+ If you would like further information, you can contact me by: Schedule a Call: https://bit.ly/2VOv9tS Website: https://lnkd.in/dUPWQwDi YOUR CAPITAL IS AT RISK IF YOU DO NOT KEEP TO THE TERMS OF YOUR AGREEMENT THE MONEY HUB LIMITED ARE A LICENSED CREDIT BROKER AND NOT A LENDER.

🏢➡️🏠 Commercial-to-Residential Conversions: A Great Opportunity for Property Developers With shifting work patterns and changing demand in city centers, commercial properties are increasingly becoming or are already vacant. This presents an incredible opportunity for property developers to convert these spaces into much-needed residential accommodation. Why consider a conversion? ✅ High Demand for Housing: The demand for residential properties continues to soar. By transforming commercial spaces, developers can provide housing in prime locations where new construction may be challenging. ✅ Easier Planning Processes: Many local councils are supporting these conversions to meet housing targets, making planning approvals simpler and faster than traditional new builds. Plus if the conversion falls under permitted development rights, this can speed up the approval process. ✅ Potential for Attractive Yields: Residential properties in high-demand areas tend to attract reliable rental income, making these conversions financially rewarding in the long run. ✅ Sustainable Development: Repurposing existing buildings is environmentally friendly and reduces construction waste, aligning with the push toward sustainable building practices. As a finance broker specialising in property finance, I can help you explore funding options tailored to commercial-to-residential projects, from development loans to bridging finance. If you’re considering a conversion project, let’s talk about the funding solutions available to make it a reality. Schedule a Call: https://bit.ly/2VOv9tS Website: https://lnkd.in/dUPWQwDi YOUR CAPITAL IS AT RISK IF YOU DO NOT KEEP TO THE TERMS OF YOUR AGREEMENT THE MONEY HUB LIMITED ARE A LICENSED CREDIT BROKER AND NOT A LENDER.

Here are the 3 main reasons why you would use a bridging loan instead of a mortgage: 1- The property is in a poor condition - Mortgage lenders want the property to be suitable for living in straight away, whereas bridging loan lenders are happy to lend on properties that are in a poor condition that you then plan to renovate. It is also worth noting that some bridging loan lenders can help you raise money to purchase the property and could also provide extra funds towards the refurbishment costs. 2- You intend to make major changes to the property - such as converting a house into flats or a HMO. Bridging loan lenders are OK with this, whereas mortgage lenders don't like the property being developed to this level. 3- Speed - If you are looking to purchase a property at auction you may need to complete in 28 days and it is unlikely you can get a mortgage to complete this quick, so a bridging loan can be used to achieve this completion date. For more information around bridging loans, you can contact me by: Schedule a Call: https://bit.ly/2VOv9tS Website: https://lnkd.in/dUPWQwDi YOUR CAPITAL IS AT RISK IF YOU DO NOT KEEP TO THE TERMS OF YOUR AGREEMENT THE MONEY HUB LIMITED ARE A LICENSED CREDIT BROKER AND NOT A LENDER.

Understanding the Difference Between Assured Shorthold Tenancies (AST) and Commercial Leases https://lnkd.in/eb9J3Kt8

What type of properties can you buy with a bridging loan? Here are 4 examples of properties you could purchase using a bridging loan ✅Residential houses and flats that need a lot of refurbishment, or maybe the flat has a short lease on it. ✅ Multi-Unit Freehold Block - One property that is split into multiple flats with no leaseholds in place ✅ Semi Commercial Properties - Maybe an office/retail shop downstairs with a flat above. Maybe the property could be completely changed to residential use under permitted development rights. ✅ Commercial Properties - Maybe you want to buy a commercial property at auction and need to complete quickly - a bridging loan could help with this. Interested in learning more about bridging loans ? Feel free to get in touch to discuss how we can support your property development journey. Schedule a Call: https://bit.ly/2VOv9tS Website: https://lnkd.in/eY-hRcR5 YOUR CAPITAL IS AT RISK IF YOU DO NOT KEEP TO THE TERMS OF YOUR AGREEMENT THE MONEY HUB LIMITED ARE A LICENSED CREDIT BROKER AND NOT A LENDER.

Understanding HMO Mortgages: A Smart Investment Tool for Property Investors When it comes to investing in property, HMOs (Houses in Multiple Occupation) can be a profitable option, offering higher rental yields than single-let properties. However, financing an HMO comes with its own set of rules and mortgage requirements. Here’s a quick breakdown to help you understand what a HMO mortgage entails and why it’s different from a standard buy-to-let mortgage. 1. What is an HMO? A HMO is a property rented out to multiple tenants, each on a separate tenancy agreement. Typically, tenants in an HMO share communal spaces like kitchens and bathrooms, while retaining their own bedrooms. Common examples include student housing and shared professional accommodations. 2. Why Do You Need a Specific Mortgage? Due to the unique setup of HMO properties, lenders often see them as higher risk than traditional rentals. As a result, an HMO mortgage usually has stricter criteria, such as: • Higher interest rates to account for perceived risk. • Larger deposit requirements (Min 25%). • Experience requirements, as some lenders may only approve HMOs for investors with a rental property track record. 3. HMO Licensing and Property Standards Not all properties can be converted to HMOs; certain licensing and regulatory standards must be met. Local councils may require a specific HMO license, and lenders will often want confirmation that your property is fully compliant. 4. Benefits of Investing in HMOs • Higher Rental Yields: Since each room is rented separately, rental income is often higher than a single-family rental property. • Diversified Income Stream: With multiple tenants, the income stream is less affected by individual tenant turnover. 5. Considerations Before Applying HMO mortgages are not one-size-fits-all. Rates, fees, and criteria vary significantly between lenders, so partnering with a broker who understands the market can streamline the process and help find a deal tailored to your investment goals. Whether you're new to HMOs or looking to expand your portfolio, working with a knowledgeable broker can be the key to securing a competitive HMO mortgage. Interested in learning more? Feel free to get in touch to discuss how we can support your property investment journey. Schedule a Call: https://bit.ly/2VOv9tS Website: https://lnkd.in/eY-hRcR5 YOUR CAPITAL IS AT RISK IF YOU DO NOT KEEP TO THE TERMS OF YOUR AGREEMENT THE MONEY HUB LIMITED ARE A LICENSED CREDIT BROKER AND NOT A LENDER.

Bridging Loans – Your Exit Strategy is Key If you're a property developer looking to purchase a property with a bridging loan, it's crucial to have a clear repayment plan in place. If your strategy is to buy, refurbish, and then sell the property, your exit route is straightforward—you'll repay the bridging loan upon sale. However, if your plan is to hold onto the property and refinance it with a Buy-to-Let (BTL) mortgage, then the numbers must align. Specifically, your BTL mortgage needs to cover the full amount of the bridging loan, including fees and payments. For example, if you borrow NET £150,000 over a 12-month term, with monthly payments and fees added, your total GROSS loan may reach approximately £170,000 at the end of the term. You'll need to confirm that a 75% BTL mortgage, based on the increased property value, will fully cover the GROSS LOAN amount. Additionally, the rental income generated should support the required mortgage amount. Lenders expect a clear exit strategy from the start. Having answers to these questions is essential. In some cases, lenders may even request an Agreement in Principle to confirm that a BTL mortgage exit strategy is feasible. For more information on bridging loans, feel free to reach out! Schedule a Call: https://bit.ly/2VOv9tS Website: https://lnkd.in/dUPWQwDi YOUR CAPITAL IS AT RISK IF YOU DO NOT KEEP TO THE TERMS OF YOUR AGREEMENT THE MONEY HUB LIMITED ARE A LICENSED CREDIT BROKER AND NOT A LENDER.

Always Prioritise Client Communication – It’s Non-Negotiable! As a finance broker, managing multiple tasks is part of the job. The to-do list never ends, and for every task completed, a new one pops up. However, one aspect that stands above all is client communication. Returning calls and being punctual for appointments or scheduled calls is essential for building trust and maintaining strong relationships. It’s easy to call a client with good news, but addressing challenges promptly is just as important. Even when updates are pending, a quick check-in—letting the client know you've followed up with the lender—goes a long way. These small actions help build trust and confidence in your ability as a broker. What are your non-negotiables when working with clients?