Our latest finance update covers:
John Healey’s first budget seemed to be a quieter event than his predecessors’ two budgets. From the lending markets viewpoint it lacked drama and that is what we saw reflected in the gilt and swap market.
Long term rates actually reduced a little, even with the prospect of the Bank of England raising the base rate in November.
Fixed rate loans for commercial and residential investment properties have been reflecting the increased swap rates over the past few months. They now look to be reasonably stable and will probably remain like that, unless there is a settlement in the Middle East and oil prices drop significantly for a prolonged period. If that happens I would expect to see the Bank of England reducing the number of rate increases currently priced into the market.
One of our lenders has extended their offer to clients who apply for residential and commercial loans, with their standard 2% fee waived for any loan applications submitted before the 21st December 2026.
The loan conditions that apply for this benefit:
If you are interested in obtaining terms, please let me know as soon as possible due to strong demand for the no fee loan.
Max LTV 70% £250k – £750k 1.3% – 1.65% over BOE base rate. Fee 1.5%
One of the problems I find with good quality, lower yielding properties, is getting the lenders debt service cover to work with the loan that is required. For professional investors with existing portfolios. one lender is offering a tailored solution, reducing the standard debt service covenant for loans from £1m to £10m. Rates start from 1.7% over BOE base rate.
With most loan terms for investment loans having a maximum period of five years, in reality it means that every four and a half years it is time to look at your options. The exception will be any CBIL support loan that you may have taken in 2021-2022 which will have a six year loan term.
If you are interested in information within the update, please let me know and I will obtain specific loan terms for you, all rates are available with interest only.
Investors buying a property from the Acuitus auction, can access a no-valuation bridging loan up to 50% of the sale price, if bought during the live auction.
Loans are available up to 70% LTV with a valuation.
For loans up to £500k, the lender will use the borrowers solicitor which will reduce costs.
Rates 1% pm with a 2% fee
Ltd Company BTL / Portfolios £500k – £20m
Up to 65% LTV five year fixed rate 5.25% Fee 3% five year fixed rate 5.45% Fee 2%
Up to 75% LTV five year fixed rate 5.45% Fee 3% five year fixed rate 5.7% Fee 2%
Up to 75% LTV 1% over BOE base rate for three years Fee 2%
HMO
Max LTV 75% Up to six bedrooms £500k – £3m five year fixed rate 5.7% Fee 2%
Max LTV 70% 7-20 bedrooms £500k – £3m five year fixed rate 6.1% Fee 2%
Multi-Unit Freehold Block
Max LTV 65% £300k – £20m five year fixed rate 5.75% Fee 2%
Max LTV 75% £300k – £20m five year fixed rate 6.05% Fee 2%
Max LTV 75% £300k – £20m 1.24% over BOE base rate for three years Fee 2%
Semi – Commercial Investment Loans / Residential must be 50% or more of square footage
Max LTV 65% £400k – £5m five year fixed rate 6.1% Fee 2%
Max LTV 75% £400k – £5m five year fixed rate 6.45% Fee 2%
Max LTMV 75% £750k – £10m From 1.8% over BOE base rate/ 6.2% fixed for five years
Bridging Finance
There is a lot of competition in the bridging loan market at the moment, the most common loans that I see requested:
Development Loans
If you have a development to finance please call me to discuss for tailored terms, this covers smaller developments up to very large mixed use or special purpose schemes.
Alternatively if you are looking at a different real estate finance requirement please call me or email a summary of the deal.
Acuitus Finance uses a commercial finance sourcing system with access to over 100 specialist property lenders covering commercial property investment, residential property investment, development finance and bridging finance.
To find out how Acuitus Finance can support your investment plans, contact us today or complete the form on our website
Stuart Buchanan
Acuitus Finance
+44 (0)20 7034 4850
+44 (0)7879 432868
