KIS Bridging Loans
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Please Note: We recommend that you keep the calculator set to 'Auto'.

By setting to 'Manual' you will be required to enter the monthly interest rate, facility fee and if applicable any exit fee.

Back to Auto
Continue to Manual
Bridging Loan Calculator
Please select Auto or Manual.

Auto - Automatically selects the monthly interest rate and lender facility fee.

Manual - Allows manual input of the monthly interest rate and lender facility fee. This is useful if you want to compare options.

Loan Requirements
Amount Required - The total ‘net’ loan amount that you are looking to borrow. This is the amount you are expecting to receive before interest or any other costs have been added.
Term Required - The maximum number of months that you require the loan for.
Properties Used as Security
Property Value - The estimated market value of the property being used as security.
Mortgage Balance - The total balance of any mortgages secured on the property that are not being cleared and will still be outstanding upon receipt of the bridging loan.
Add Property
Rates and Fees
Interest Roll Up or Pay Monthly
Rolled Up Interest means the interest is charged at the end of each month and then added to the loan balance. It is then paid when the loan is redeemed.

Pay Monthly option means that the interest is charged and paid at the end of each month. It is not added to the loan facility.

Calculator Instructions

  1. Choose Auto or Manual - We advise that you leave the calculator set to ‘Auto’, this will allow the interest rate and lender facility fee to be set automatically. If switched to ‘Manual’ then the monthly interest rate, lender facility fee and exit fee will need to be adjusted.
  2. Enter Loan Amount - Please enter the Loan Amount that you require.
  3. Select Loan Term - Term Required is set by default to 12 months - but can be changed. Most bridging loan facilities are set up over 12 months, and if the loan is paid back early, interest is only charged up to the day of redemption. The only exception when the loan is cleared within the first month as there is a 1 month minimum loan term. Therefore, if the loan is cleared within the first month, interest for the whole first month will be charged.
  4. Enter Value of Property - Please enter the value for each property that is being used as security.
  5. Enter Any Mortgage Balance - If any of the properties being used as security for the loan will have a mortgage outstanding during the term of the facility, then please enter the mortgage balance.
  6. Add Another Property (Optional) - You can press the add property button to add additional properties that are going to be used as security.
  7. Choose Roll Up or Monthly Interest - Most of our bridging loans are set up with interest rolled up. This is when the interest charged is added to the loan balance each month. ‘Roll Up’ interest is therefore the default setting, but you can change this to pay monthly if you want to pay the monthly interest charged at the end of each month. Please note for regulated bridging loans the interest has to be rolled up, paying the interest each month is not an available option.
  8. Click Calculate - Click on the ‘Calculate’ button. It is easy to make changes, to view different options, by using the ‘Edit Calculation’ button.

Calculator Disclaimer

This calculator is for bridging loans that are secured against residential property, such as houses, bungalows and flats. Residential property offered as security can be owner occupied, second or holiday homes, buy to lets and other non-commercial investment property.

Calculations for bridging loans secured against commercial property, development land and farms, please use our commercial bridging loan calculator.

The calculator above provides a detailed guide to the interest charges, plus all the other costs associated with taking out a bridging loan that uses residential property as security.

It is designed to provide an accurate as possible guide to the overall cost for a bridging loan facility, if it runs full term, plus also the reduced costs if the loan is cleared early before the end of its term.

The calculations are based on our most common and popular loan plans. The lending criteria for these plans are detailed below.

However, the figures generated should not be relied upon as an accurate quote. Please contact us anytime, and we will be pleased to provide you with a detailed accurate quote and loan approval.

Calculated Results
£0, over Months at 0.41%
Total Costs
Net Bridging Loan Amount Net Bridging Loan Amount - Bridging loan amount required before interest or any other costs have been added. £ 0
Monthly Interest Rate Monthly Interest Rate - Monthly rate of interest charged on the loan facility. 0.41%
Lender Facility Fee (2%) Lender Facilitry Fee - Calculated as a percentage of the net loan amount and added to the loan facility. Amount of facility fee is illustrated, and the percentage charged is shown in brackets. £ 0
Net Loan Plus Facility Fee Net Loan Plus Facility Fee - This is the net loan amount plus the lender facility fee. £ 0
Average Monthly Interest Monthy Interest - This is the average monthly amount of interest charged based on the full term of the loan. Interest is calculated on the loan balance each month and then added to the facility. £ nan
Interest if Loan Runs Full Term Interest if Loan Runs Full Term - This is the total amount of interest that will be charged if the loan is cleared right at the end of its term. £ 0
Gross Loan Gross Loan - This is the total of the net loan amount, plus lender facility fee, plus the total roll up interest amount if the loan runs full term. £ 0
Loan To Value (LTV) Loan To Value (LTV) - This is calculated by taking the loan amount, plus any mortgages left in place, as a percentage of the total value of the properties being used as security. nan%
Redemption Amount at Full Term Redemption Amount at Full Term - This is the estimated amount required to clear the loan facility if it runs full term. £ 120
Other Costs
Valuation Fees Valuation Fees - This is the estimated cost if a full valuation is required on the properties offered as security. This figure maybe reduced if a desktop, drive by or existing valuation is sufficient for the lender. £ 0
Lenders Administration Fee Lenders Administration Fee - Most lenders charge administration fees, the amount of which can vary. The fee shown is for a typical plan. £ 295
Estimated Lender Legal Costs Estimated Lender Legal Costs - Lenders will require clients to pay any legal fees incurred in relation to arranging their loan. £ 720
Telegraphic Transfer Fee Telegraphic Transfer Fee - Lenders are charged this fee for sending the proceeds of the loan to their solicitor. They claim this charge back from their customers. £ 35
Redemption Administration Fee Redemption Administration Fee - When the loan is repaid the lenders charge an admin fee to remove their charge over the security property. £ 120
Exit Fee (0%) Exit Fee - Some loan plans have exit fees. The vast majority of our loan plans do not. £ 0
Packager and Broker Fees Packager and Broker Fees - Most brokers and packagers charge fees, we do not. £ 0
Breakdown
Month Interest Gross Loan Early Settlement
Jerry Matthews
Jerry Matthews
Commercial Manager
& Head of Bridging

Sue Andrews
Sue Andrews
Business & Compliance
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Bridging Loan Calculator

So that our bridging loan calculator provides as accurate as possible illustrations of the likely costs involved in taking out and having a bridging loan, calculations are based on our most popular and commonly arranged loan plans.

The lending criteria is quite simple. To see if you qualify please see below:

How do I get approved for a bridging loan?

Loan criteria for our most commonly arranged plans:

General

  • Loans from £100,000 to £10 million
  • Terms from 1 month to 18 months
  • Minimum loan term 30 days

Applicants

  • Aged 21 or over
  • Resident in the UK
  • Credit History – CCJs, defaults and arrears are considered and usually accepted provided exit is not dependent on refinancing
  • No income proof required – except when the loan is to be repaid through refinancing
  • Available to individuals, partnerships and limited companies

Property used as security to qualify for residential bridging loan plans

  • Houses, flats, maisonettes, bungalows and HMOs
  • Commercial property can be used if it is being converted to 1 or more residential properties
  • Multiple properties can be used as security
  • Security property must be located in UK including Northern Ireland
  • Can be in a very poor state of repair (completely gutted, have no kitchen or bathrooms, etc)
  • New builds need to be watertight (Roof on and windows in)

Valuations

Valuations are required on most plans. These can either be a desktop valuation or full valuation.

  • Desktop valuations - are typically no more than £100 each and can be turned around in hours.
  • Full valuations - cost more, an indication of their costs is provided by our calculator.

How much does a bridging loan cost?

The calculator plans charge interest monthly, which is then usually rolled up. This means that the gross loan balance increases each month as interest is added.

Bridging Loan Interest Rates
Loan To ValueMonthly Rate
Up to 55% 0.41%
55% to 65% 0.51%
65% to 70% 0.61%
70% to 75% 0.69%

Loan To Values are based on the open market value, not the lower 90 day or distressed valuation calculations.

Bridging Loan Fees and Costs

Lenders Arrangement Fees

(also referred to as Lenders Facility Fees)

For the vast majority of plans, lenders charge a 2% arrangement or facility fee, which is calculated on the net or gross loan amount. For most of our facilities this fee is calculated on the net loan amount, not the gross. We are also able to arrange reduced fees on the following basis:

Lenders Arrangement Fees
Loan AmountRate
Up to £200,0002%
£200,000 to £250,000 1.75%
£250,000 to £350,000 1.5%
£350,000 to £500,000 1.25%
£500,000 to £750,000 1%
£750,000 to £1 Million 0.75%
£1 Million to £5 Million 0.5%
Above £5 Million 0.25%

For the above plans the minimum loan term is 30 days (1 month), therefore if you repay the loan within the first 30 days you will still be charged the full 30 days interest. After the 30 day period has ended you will only be charged interest up to the actual day that you clear your loan.

Administration fee

If the loan is taken out then the lender will charge an administration fee, which is typically £295. This is not an application fee, it is only charged if you draw down the loan.

Valuation fees

These fees vary on the value of the property, or properties, being used as security. Their location and the type of report required is also a factor. Our calculator provides an estimate to the cost of a full valuation.

Desk top valuations cost less and are quicker, so we always use these wherever possible.

Valuation fees are required to instruct valuations and are paid directly to the surveyor or lender.

Redemption fee

Lenders charge a redemption fee when the loan is repaid. This is a legal cost for removing their charge from the security property.

Solicitors fees – the lender uses a solicitor to deal with the loan contracts, and also placing their charge on the security property. The costs involved for this is charged to the applicant. An indication of the amount charged for lenders legal fees is provided by our calculator.

Broker Fees and Exit Fees

We do not charge broker fees and there are no exit fees on any of these loan plans.

No obligation finance quotes

Our calculators are intended to provide an approximate guide to all the costs associated with taking out a short-term finance facility. However, there are many lenders, all of whom offer different interest rates, calculate interest in different ways and have different fee scales. As independent brokers we will always provide the finance facility that offers the best possible deal.

Please contact us anytime to find the best possible finance deals. We are always happy to provide full finance quotes that fully detail the interest rates charged plus all other costs.

How is interest calculated and added to a bridging loan?

Bridging lenders have different ways of calculating, charging and rebating interest. For the vast majority of facilities that we provide the following applies:

Interest is rolled up

  • Interest is charged monthly on the outstanding account balance.
  • Interest payments are not required, therefore the monthly interest charge is added to the account balance each month.
  • Each month the outstanding balance will increase due to the compounded interest.

Clearing the loan early

  • Loans are usually set up with 12 month terms, and there are no early redemption charges.
  • The minimum loan term is just 1 month (30 days), meaning if you clear the loan within the first month, interest will be charged for the full month.
  • After the first month, interest will only be charged up to the day that the loan is cleared. For example, if the loan is repaid after 3 months 10 days, total interest charged will be 3 months plus 10/30 (or 1/3) of a month.

Other popular bridging loan plans

0.175% per month short term loan plan

  • 0.175% per month up to 60% LTV
  • Loan terms up to 24 months
  • Facility fee is 2%
  • Interest can be paid monthly or set aside
  • Loans £1 Million and above

Please note this is not a typical bridging facility in that underwriting is more stringent and it takes longer to put in place. It is a good option if it fits your circumstances, enough time is available for it to be put it in place, and if the loan is likely to run over 12 months (the benefits of the reduced rate is outweighed by the increased facility fee if redeemed within 12 months).

Market leading rates available on bridging loans above £2 million

Specialist facilities available for loans ranging from £2 million to £1 billion.

Please contact us for further information.

Bridging loan calculator explained

Our bridging finance calculator is similar to a mortgage calculator, but instead of calculating monthly repayment figures our calculator provides information about the monthly interest charged and the lenders facility fee. It is important to note that the monthly interest figure calculated is just the interest amount charged, and does not include any capital repayment. Bridging loan interest charges can be set up so that they are either paid each month or added to the loan and paid when the loan is redeemed.

How to use our bridging loan calculator

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To use our bridging loan calculator select if you would like ‘Auto’ or ‘Manual’.

By default, the calculator is set at our recommended setting ‘Auto’, meaning the monthly interest rate and lender facility fees are both selected automatically.

Please select ‘Manual’ if you want to be able to manually enter the monthly interest rate, lender facility fee and if required an exit fee.

Enter the net loan amount that you require. This is the amount that you would like to borrow before any interest charges or lender facility fees have been added to the loan.

Enter the loan term required. This is typically 12 months, even if you don’t think that you will need the loan for that long. Interest is only calculated up to the day that the loan is cleared, and there are no early redemption penalties. The minimum loan term is one month, so if you clear the loan within the first month (for example after just 2 weeks) then you will be charged interest for the full month. 

There is an option to enter the number of months that you think you will have the loan for. The calculator will provide an estimated redemption amount for the loan if it does not run full term, and is cleared at the end of the month selected.

Enter the estimated market value of the property that you would like to use to secure the loan. The lower the loan to value then the lower the interest rate. You can use property being purchased with the loan and/or existing properties that you, or anyone else who is part of the loan agreement, own.

Enter the amount of any mortgages that are secured on the security property and will still be outstanding after the bridging loan has been drawn. If the bridging loan is being used to clear any existing charges, or there are no existing mortgages, then this box can be left blank.

If more than one property is being used as security, select the Add Property button and provide the estimated market value of any additional security properties, along with details of any outstanding mortgage balances.

Select if you would like ‘Interest Roll Up’ or ‘Pay Monthly Interest’. Over 90% of our bridging loan facilities are provided with roll up interest. You can opt to pay monthly on some plans if you prefer, but for this option the lenders will need to have income confirmation to prove affordability.

By clicking on the 'calculate' button the bridging loan calculator will work out the following:

Net Loan Plus Facility Fee  - This is the total of the loan amount required and the lender's facility fee.

Monthly Interest  - This is based on the loan amount required, the lender's facility fee added to the loan and the monthly rate of interest. The figure provided is calculated using the monthly amount of interest charged on the Net Loan Plus Facility Fee amount. The figure provided is the average monthly interest charged per month if the loan runs for the full term. For pay monthly loans, the monthly charge will be the same each month, but for roll up interest loans there will be a slight increase in interest charges each month. This is due to the loan balance increasing each month as interest charges are added, and interest being charged on the interest (compounded).

Interest if loan runs full term - This is simply the monthly interest charged per month, multiplied by the number of months, that the loan has been set up for. The figure provided in this box indicates the total amount of interest charged if the loan runs its full term and is not redeemed beforehand.

Loan to Value (LTV) - This is calculated by taking the loan amount plus any mortgages left in place, as a percentage of the total value of the security properties.

Redemption Amount at Full Term - This is the estimated amount required to clear the loan facility if it runs full term.

Breakdown - This shows a breakdown of the monthly interest charged for each month of the loan, alongside the Gross Loan amount.  It also shows the Early Settlement figure for redeeming the loan at any point during its term.

Other bridging costs

We use all the best lenders and no two lenders are the same. The cost figures provided are meant as an indication only, as they do vary between lenders. To obtain full accurate figures please give us a call and we will be happy to find you the best possible deal.

Other costs are an indication as all lenders will vary.

Valuation fees - will vary depending on type of property, location and value. They also vary from one firm of surveyors to another, and we have to use a surveyor who is acceptable to the chosen lender. Valuation fees are required when it is time to instruct the surveyor, so are required before loan completion.

Lender's administration fees - do vary between lenders but are typically £295 and paid on completion, so are deducted from the loan advance.

Lender's legal fees - need to be paid, and are also deducted from the loan advance.

Telegraphic transfer fee – this is also deducted from the loan advance.

Redemption administration fee - is charged by the lender when the loan is redeemed. This fee is usually added to the settlement figure, so is charged and paid right at the end. This is usually in the region of £120.

Exit fees – these are also charged upon the redemption of the loan and added to the settlement figure. These fees can be high, typically 1% of the gross loan amount. Very few of our lenders charge exit fees, hence it is very unusual for us to arrange a facility that contains one. Therefore our calculator default has been set at zero.

Monthly interest charges - are calculated based on the information provided for the loan rate and also the fee amount.

When comparing us to other companies please note that we do not charge application, commitment or broker fees. The only upfront fees that we ever require are for valuations.

Frequently Asked Questions

How can I get an instant online bridging loan quote?

Our online bridging calculator provides detailed examples of all the costs associated with taking out a bridging loan. You do not have to provide any personal or contact information to receive instant calculations. It is very simple, just provide basic information to receive detailed costs based on our most common loan plans.

How do I qualify for a bridging loan?

The loan criteria for most bridging loans is quite simple, and are really flexible with regards to:

  • Credit history
  • Income company, partnership, sole trader or individual applications
  • Applicant’s maximum age
  • Condition of any property being used as security
  • Using multiple properties as security
  • Speed

The important considerations for a bridging lender are:

  • The value of the security property
  • A viable exit route to ensure that they will be paid back

How long does it take to arrange a bridging loan?

Some bridging loans can be arranged within as little as 48 hours from initial application. However, very few lenders can achieve this sort of speed, many require 2 to 4 weeks from start to finish.

What can I use a bridging loan for?

They are traditionally used for ‘chain breaks’, buying a new property before an old one is sold. However, they are increasingly used when funds are required quickly, for example auction purchases, and also for funding development projects and un-mortgageable properties.

Should I deal directly with a bridging lender or broker?

We obviously believe brokers! However, if you are unconvinced you can always shop around for yourself and compare your best genuine deal to what we find for you. Since we don’t even charge broker fees you have nothing to lose. We will save you money, time and hassle.

What is your minimum and maximum loan size?

Our loans start from £100,000 and there really isn’t a maximum.

Can I borrow 100% LTV with a bridging loan?

In some situations, it is possible to borrow 100% of a property’s value with a bridging loan. This is because you can secure a bridging loan across more than one property. As long as the LTV is 75% or below, based on the combined value of properties being used as security, then 100% bridging is possible.

What will happen if I can’t repay my bridging loan?

As a short-term product, you should always aim to repay your bridging loan facility in full at the end of the agreed upon term. However, anyone can suffer from completely unforeseen obstacles to repayment and you may be left worrying what you can do.

As soon as you think you will be unable to clear the bridging loan on time then you need to discuss this with your lender. If you are completely transparent about any complications that arise then they may be able to work through some different options with you in terms of repayment.

If there’s nothing you can do to clear the bridge on time then you may need to consider a re-bridge so you don’t default on the loan. This is a new bridging loan facility which will clear the old one and give you more time for your repayment plan to come to fruition.

Last updated: 07 July 2022