A leading bridging lender has exclusively revealed that after completing a record month for bridging in July it has made improvements to its existing second charge bridging products.

Precise Mortgages has increased the maximum LTV offered on its second charge products to 70 per cent, up from 50 per cent. The change in LTVs has also led to a change in interest charged, which was previously 1.4 per cent per month (p/m) for this product. 

The lender has modified interest charges to work on a sliding scale. Loans which have an LTV of 50 per cent or less will be charged at 1.2 per cent interest p/m, 50-60 per cent LTV cases will be charged at 1.3 per cent interest p/m and over 60 per cent LTVs will be charged at 1.4 per cent interest p/m of the gross loan. The lower the LTV, the cheaper the loan.

Alongside these changes the Managing Director, Alan Cleary, has highlighted that Precise has had a record month for bridging in July. With 149 AIPs worth the equivalent of £41.5 million and 61 confirmed applications worth £12.2 million, the lender has experienced a substantial boost in business. With almost a 300 per cent increase when compared to 54 AIPS in December of last year, the new figures highlight Precise’s commitment to lend. 

Alan said: “We’ve had a very good start in 2012 and are now considering additional initiatives regarding how to further build on this. We are looking at other areas of the bridging market as we focus on further expansion later in the year.”