LendInvest has launched a three-year bridge product for property investors that is intended to be a hybrid between bridging and buy to let. It has an income coverage ratio of 110% rather than complying with the Prudential Regulation Authority’s buy-to-let stress tests and is designed for experienced borrowers. It costs 6.99% for up to 70% loan to value and has a pay rate of 4.99%, with 2% of the interest deferred. The company said it was looking at other ways to make money from its new product, including offering loans on properties in areas where there are no mortgage lenders or letting them out as short-term lets. There is an early repayment charge of 3% in the first year, 2% in the second and 1% in the third, with no charge in the last three months of the loan.
LendInvest has launched a three-year bridge product for property investors that is intended to be a hybrid between bridging and buy to let. It costs 6.99% for up to 70% loan to value and has a pay rate of 4.99%, with 2% of the interest deferred. The company said it was looking at other ways to make money from its new product, including offering loans on properties in areas where there are no mortgage lenders or letting them out as short-term lets. There is an early repayment charge of 3% in the first year, 2% in the second and 1% in the third, with no charge in the last three months of the loan.