Ultimate Finance cuts bridging loan rates
Asset-based lender Ultimate Finance has reduced its bridging loan rates following significant milestones which saw the company achieve a 12-month period in bridging finance where they paid out a total of £70m of new business, including the highest ever monthly figure of £20m in May, and saw the bridging loan book grow to record levels.
Josh Levy CEO of Ultimate Finance said:
“Price has been a hot topic in the market recently with many lenders dropping rates. Consistent feedback from our brokers is that the right lender for their client isn’t always the one with the cheapest headline rate, with many other factors of importance.
But it has been clear that an investment in price is needed, so we’ve reduced our starting rates to 0.74% per month on residential deals up to 65% LTV and 0.79% on deals up to 75% LTV.
It’s important to stress that these are not unobtainable headline rates but genuine price points that we will do business at.”
As well as a record Bridging loan book size of £75m other highlights include:
- Record month for new business in May of £20m
- Over £70m of new business in the last 12 months
“In addition to our impressive new business growth in the last 12 months, it’s been encouraging to see the positive performance of our back book and in the first half of this year we’ve already had a higher level of redemptions than we did in the whole of 2020, showing improvements in market conditions and that our growth is sustainable and built on strong foundations.”
Ultimate Finance aim to drive continuous improvement in their proposition and service delivery with innovations in both technology and product, with a residential product range which includes development exit and development finish & exit products.
This includes equity release options designed to help developers release capital that would otherwise be tied up in projects and allow them to move onto their next opportunity.
“We know the rate reduction will be welcomed by our introducer partners and their clients. We have substantial capital to deploy and have significant ambitions to build upon our recent successes.
We will continue to focus on our premium service levels and reputation for delivering what we promise in a quick and flexible manner, putting us in a really strong position going into the second half of the year.”
Ultimate Finance is also working on expanding its range of commercial and semi-commercial offerings as those markets start to unlock.