MFS provides two re-bridges to allow borrowers breathing space

MFS provided a £2m re-bridging facility to help a borrower pay-off an existing lender on a residential investment property in south London. 

The deal came about after MFS was approached by a broker with a new client who needed a bridging facility to discharge their existing lender. 

The asset was in the centre of south London and had a market value of over £5m.

With a low LTV and an attractive property location, MFS offered terms within hours of the client making contact and the valuation was instructed. 

Within seven days, MFS concluded the transaction and the client was pleased to learn that it did not charge a penalty for early repayment.

This enabled the client to redeem the loan as soon as they sold another asset within their property portfolio. 

The second re-bridge was required to pay-off an existing lender on a buy-to-let property in the South East of England. 

MFS provided £3.5m after an existing broker introduced a client who required the re-bridge after experiencing a delay in selling one of his other investment properties. 

The property was a buy-to-let that was already on the market with two agents and had received strong interest from buyers. 

MFS moved fast to ensure the client did not default with his existing lender and offered rates which were much more attractive than the default rate that would have been charged by his existing first charge lender. 

The lender completed the transaction before the deadline and the client was also pleased to learn that MFS didn’t charge any penalties for early repayment, which would allow him to redeem the loan once the property was sold. 

“MFS looks at each bridging loan on a bespoke basis,” said Paresh Raja, CEO of MFS (pictured above).

“Our underwriters were able to deal with these cases fast as well as applying a transparent and commonsense approach. 

“This gives breathing space to our clients, but also the added comfort that we are not going to charge them hefty penalty rates.”