The product was designed for property investors with an “active interest” in buy to lets (BTLs), houses in multiple occupation (HMOs) and buildings in need of refurbishment. Terms are available from three to 24 months, with a maximum loan size of £10m.
This change comes after SDKA launched its first-ever bridge to term product for residential and semi-commercial properties. It has a 36-month term, priced at 1% per month for the first-year bridge period and 0.875% per month over a two-year term.
It is available for loans up to £300,000 with no valuation when switching to the term product, and no arrangement fee is charged on the changeover. Brokers will also be paid at the origination of the loan, plus an additional 0.5% when the term element starts.
Kunal Mehta (pictured), managing director of SDKA, said: “The rate reduction has been made in response to market conditions and a strong liquidity position, which is allowing us to support clients with competitive pricing.
“Thanks to the excellent relationship with our flexible funding partners, we have the ability to move our rates as required, as well as being able to launch new products, such as Bridge to Term, all of which puts us foremost in the minds of bridging borrowers who want a truly individual service.”
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SDKA lends on residential, semi-commercial and commercial properties across England, Scotland and Wales.
