Aspen Bridging to lend on pre Covid-19 property values
Aspen Bridging has pledged to lend on pre Covid-19 property values.
"Lenders who are low geared or equity funded like us will continue to reliably operate and offer brokers and customers a credible lending service"
All valuation bases will be provided on the assumption of normal market conditions as of March 1st, without the coronavirus and any associated economic impact.
Aspen says it has seen a pattern of "valuers applying blanket 5-25% reductions in valuation prices during the pandemic, which in turn creates deep uncertainty for clients and brokers as to what actual loan amounts are actually available".
Aspen is accepting applications up to £1 million net at a maximum 62.5% LTV for residential and residential light refurb projects.
Flat rates start at 0.89% with terms running from 12-14 months, with stepped rates starting at an initial 0.59% up to a maximum of 12 months.
Aspen Bridging previously introduced desktop valuations and is conducting all meetings via Facetime.
Jack Coombs, Director at Aspen Bridging said: “By taking the value of a property on March 1st 2020 we have created market leading leverage for every single application, and in turn generated a transparent, easy-to-understand offering.
“In today’s market, based on desktop valuation bridging we control our risk with a 62.5% LTV limit, which still represents one of the leading figures.
“Lenders who are low geared or equity funded like us will continue to reliably operate and offer brokers and customers a credible lending service, and we will continue to introduce innovative ideas to deliver on our promises.”
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