AUCTION BRIDGING FINANCECatalyst Property Finance / Auction Bridging Finance
We specialise in providing fast and competitive auction finance, which are short-term bridging loans designed for property investors and developers who purchase property at auction.
We lend up to 80% of OMV (Open Market Value). Rates start from 0.89% for loans up to 65% of OMV.
When you need fast access to auction finance, our team of experts are ready to help #WeAreCatalyst
Auction Finance Criteria Overview
UK individual or LTD Co/LLP. Offshore LTD Co.
Borrower 3-year UK address history.
Bankruptcy/IVAs must be discharged/cleared.
For borrowers with limited credit issues: Maximum £10k CCJs in past 24 months, settled. Rolling arrears accepted. Up to 4 missed mortgage payments in the last 12 months, none in the last 6. More than 3 years since bankruptcy/IVA/CVA. Credit issues beyond these amounts, please see ‘Complex Bridging’.
Loan terms from 3 months to 24 months.
No ERCs, 1 to 3 months minimum interest.
Loans available from £100k to £10m.
Residential loans above 75% LTV and semi-commercial loans above 70% have a maximum £1m loan amount.
Interest serviced, blended or retained.
A wide range of property types allowed.
Very light refurbishment permitted up to 10% of OMV. We can consider light refurbishment works of up to 25% of OMV when funded by the client.
Development exit finance/‘finish and exit’ for remaining works if below 10% of OMV,
higher by exception.
Residential up to 80% LTV. Semi-commercial up to 75% LTV, residential element must be >50%.
Commercial property pre-planning to 65% LTV, must have obvious C3 mixed-use/
Above 70% LTGDV maximum unit value £750,000, higher considered by exception.
For below market value purchases up to 85% loan to cost (qualifying costs being all purchase costs, tax, all refurbishment costs to date, and fees associated with borrowing) or 75% OMV,
the lower of the two.
Located in England or Wales.
Need a bridging loan to buy property at auction?
Complete this quick online form to get started
These loans are perfect for borrowers who need to raise funds fast. Catalyst offers funding for both the auction purchase and to renovate or refurbish the property.
Catalyst’s auction finance is available for many types of investment property across England and Wales for semi-commercial, commercial and more.
Depending on the property, we offer individuals and businesses an auction bridging loan up to £10 million and up to 80% LTV (Loan To Value), over a term between a month and two years.
To be eligible for this type of loan, borrowers must be between the ages of 21 and 85 at the end of the term and have a good credit history (those with an adverse history can be helped by referral). They must also have resided in the UK for three years.
Our auction bridging loans can be accessed quickly, allowing you to focus on the project.
How does ‘auction bridging finance’ help brokers and their borrowers? Our team share their thoughts:
Oliver Jenkins, Intermediary Relationship Manager, says: ‘’With the wide range of valuers we work with, the strict SLAs our solicitors adhere to, and the fast service we provide, we are consistently able to complete deals to auction deadlines.’’
First charge monthly rates from
|% of Open Market Value||65% LTV||70% LTV||75% LTV||80% LTV|
|Fixed monthly rates from:||0.85%||0.90%||0.95%||0.99%|
Please note that all loans are subject to lending criteria and underwriting.
To discover how much bridging finance you can borrow, and at what monthly rate, please contact our New Business Team or send us a message with your contact information and we will get back to you quickly with heads of terms.
We're here to make sure you never miss an opportunity #WeAreCatalysts