United Trust Bank (UTB) has unveiled a series of rate reductions and criteria enhancements across its bridging product range in a strategic move responding directly to broker feedback.
The specialist lender has lowered interest rates on both regulated and unregulated bridging loans, including cuts of up to 15 basis points on unregulated second charge products.
Rates for loans up to 70% loan-to-value (LTV) now start from 0.95% per month, down from 1.10%, while loans up to 60% LTV have seen a reduction to 0.90%.
At the higher end of the market, loans between £1.5m and £5m are now available at 75% LTV from 0.75% per month, and at 70% LTV from 0.70%.
Alongside the rate cuts, UTB has broadened its lending criteria with a particular focus on re-bridging, refurbishment lending, and streamlined valuation processes. Notably, maximum LTVs for re-bridging have increased to 70%, and to 75% on closed bridge cases.
The bank has also expanded its use of automated valuation models (AVMs), now accepting AVMs up to 75% LTV, including for light refurbishment loans where borrowing does not exceed the initial property value.
The changes, which take immediate effect, aim to enable brokers to place a wider range of cases while simplifying the application process for borrowers.
UTB’s refurbishment loans – both light and heavy – are now available at up to 75% LTV, with enhanced flexibility around borrower experience requirements.
For light refurbishment projects, such as kitchen or bathroom upgrades and non-structural renovations, the bank no longer requires previous borrower or contractor experience, although a schedule of works remains a requirement.
Paula Purdy, sales director – bridging at United Trust Bank, said the lender was responding directly to intermediary input.
“When brokers tell you what they want from lenders, you’d be foolish to ignore them,” she said.
“We’ve listened to the market and responded with these excellent rate reductions and criteria changes, greater flexibility and increasing acceptance of AVMs to streamline application processing and save customers time and money.
“We have one of the most experienced and knowledgeable teams in the bridging business. Our sales, underwriting and administration teams are all driven to support brokers and deliver the best possible outcomes for complex and everyday bridging cases.
“We understand the value of relationships, trust and reliability, and although it looks like the rest of the year may be challenging on many fronts, UTB will be side by side with brokers helping to ensure their customers quickly obtain the competitive finance they need to seize opportunities and achieve their goals.”
