Paresh Raja

MFS provides £2.9m commercial bridging loan for Surrey office building

Market Financial Solutions (MFS) has completed a £2.9m commercial bridging loan in five days for the acquisition of an office building in Surrey.

The client was in the process of buying the commercial property but risked missing the prearranged deadline due to delays from their existing lender, which would have resulted in them losing their deposit.

MFS arranged a valuation report within 48 hours of receiving the case, with the bridging loan deployed three days later.

The loan was agreed at 70% LTV and 0.95% interest rate on a 12-month term.

Paresh Raja, CEO at MFS (pictured above) said that, since securing two funding lines totalling £350m, the lender had received a large number of enquiries from residential and commercial clients in need of bridging loans.

“This latest case is an example of how MFS works with clients to meet deadlines, despite the challenges posed by social distancing restrictions.” 

He stated that the property market was alive with activity, encouraged by the recent Spring Budget and stamp duty holiday extension

“That said, many mortgage lenders are still not in a position to effectively address complex cases, particularly when faced with pressing deadlines.”

Consequently, he expects to see demand for bridging loans rise as the UK transitions out of lockdown.

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