Precise Mortgages cuts the price of bridging

Intermediary-only lender Precise Mortgages has reduced the price of its bridging loans across the board in a bid to improve costs for borrowers.

 

There has been a complete redesign of pricing resulting in three distinct product categories:

 

•    Standard Bridging – now incorporates light refurbishments, which as a result has seen prices reduce by up to 0.35 per cent per month;

•    Heavy Refurbishment – prices have been reduced by between 0.10 - 0.25 per cent per month;

•    £1 million plus – prices slashed, now starting from 0.80 per cent per month.

 

As a result of these changes the lender’s pricing grid has been simplified, making it more transparent and much easier for brokers to understand the cost of bridging loans.

 

Precise has also announced an extension on the maximum LTV offered on FSA-regulated deals, increasing the amount of equity that it can provide from 60 per cent to 70 per cent. 

 

In addition to borrowers benefitting from reduced pricing, brokers and packagers are to share in the rewards too. Premier Panel members will see their procuration fees go up from 2.25 per cent to 2.50 per cent on each case they place, without gimmicks, overrides or catches. 

 

Alan Cleary, Managing Director of Precise Mortgages, said: “Despite all the headlines last year about Interest Calculation methods being unfair to borrowers, not one Bridging Lender has publicised that they have either changed their model or documentation to improve transparency.  

 

“Brokers should always look at the Total Amount Payable to get a true cost of bridging finance.  I am totally confident that Precise Mortgages is leading the way on price and transparency.”

 

Speaking about the change to the maximum LTV that Precise could offer, Alan added: “The quality of the regulated bridging deals we have written over the past 12 months is very high and gives us confidence that this change is a sensible decision."

 

Full details of the lender’s new pricing grid and details of its Premier Packagers can be found at www.precisemortgages.co.uk