The lender said that the new three year and bridge-to-three-year products offer a “unique level of customisability” as the level of pay rates vs retained rates can be tailored to suit the yield of the borrower’s property.
Pay rates start at 3M LIBOR + 3.45 per cent per annum, with retained interest between one to three per cent per annum. This is dependent on security type, loan to value (LTV), loan size, borrower credit profile and desired pay rate.
Loans can be up to £3m in size and have a maximum LTV of 75 per cent.
An eight month bridge from 7.49 per cent per annum is included in the bridge to three-year product, and allows borrowers to exit within that time frame with no early repayment charges (ERCs).
Accepted securities include residential (including HMO), semi-commercial and commercial buildings across England and Wales. Borrowers with adverse credit will also be considered.
These new products are also available to brokers.
Funding 365 managing director Mike Strange (pictured) said: “Our research found that brokers and borrowers did not have enough choice in the mid-term property finance market, especially in scenarios where the loans would be secured against commercial and specialist properties.
“Our new three-year property loans will provide unrivalled solutions to borrowers who are seeking longer term and more tailored solutions than currently exist in the bridging market.”