Finish and Exit Bridging Loan
Bringing a development project to completion and repaying your existing finance.
Why you need a finish and exit bridging loan
A finish and exit bridging loan facilitates your development project to physical completion and your existing finance facility to be repaid without penalty or delay. A simple short term solution for the developer requiring time, finance, or both.
What a finish and exit bridging offers
The benefits you get include:
- Re-financing of your current development loan
- Extra cash to enable you to complete work remaining
- Additional time to sell units or re-finance into term debt
- No need to extend your current facility and face charges
- Typically facility term 12-18 months
- Payable interest is rolled up to be paid at the end of term
Use this financing when:
- Funds are required for completion
- The terms of an existing development loan are coming to an end
- Units are taking longer to sell
- The scheme has not yet obtained planning consent and cannot yet secure a long term mortgage
What property can it be lent on?
It is available to be secured against a wide variety of property types, which include:
- Commercial property
- Industrial units/ warehouses
- Houses
Main advantages
- Less expensive financing costs, as you would be topping up a current development loan
- An extension of the construction time, and the additional time to sell the rest of the units
- Rapid access to capital, meaning no delays and no penalties
- Ability to exit through sale or refinance
Common fees you’ll need to pay
The fees vary from lender to lender but you might expect:
- Early repayment charge – only payable if repaid before the minimum period
- Exit fee – typically about 1% of the total loan amount
- Administration/arrangement fees – normally 1-3% of the loan value
- Legal fees (for the lender and the borrower)
- Valuation fees (for the lender and the borrower)
- Redemption fee – This fee is for the charge on your property to be removed
- Broker fee – usually anything between 0.5% – 2% or a set fee
Why work with Tiger Financial
Tiger Financial is a specialist UK bridging broker that helps developers arrange speedy, flexible finance for finish and exit stage. We find great terms, manage the entire application process and ensure a strong application is put together from the start.
Contact our team today to arrange discussing your development and submit an application.