Halifax Bridging Loan Comparison Calculator

Use our bridging loan calculator for quick rate comparisons with Halifax bank. Gain access to the best bridging loan rates sourced in the UK.

Halifax, a wholly owned subsidiary of Lloyds Banking Group, was officially founded in the year 1852. Halifax, one of the first true ‘building societies’ to open its doors in the UK, was established to help address the country’s severe housing shortage. Halifax now forms part of the Lloyds Banking Group, which employs more than 75,000 people, has over 30 million customers, and is the UK’s leading provider of current accounts, savings, personal loans, credit cards, and mortgages.

Compare Donkey to Halifax bridging loans

Typically, bridging loans are used for the purchase of a property. These loans are designed to help people who are moving house and who want to acquire a new property while their existing home is on the market. When equity happens to be locked up in a mortgage, a Halifax bridging loan may be appropriate to finance a property purchase. They can be especially valuable to property managers, people who are buying property at auction, and developers.

Home-movers may want to use a bridging loan to avoid getting stuck in a property chain so that they can purchase a new property while waiting for a mortgage. Nonetheless, it is important that you keep in mind that obtaining bridging finance doesn’t guarantee you’ll obtain a mortgage in the future.

Halifax Bridging Loan Calculator

Our calculator is fast and simple to use, and it is provided to illustrate interest charges and various other costs associated with bridging finance. There are numerous bridging finance companies that all charge a range of different interest rates, along with a host of other charges. These charges differ considerably, making it impossible to provide a bridging loan quoting system online that’s able to offer quotes for all circumstances. A bridging finance calculator is meant as a guide only. It is, however, based on the most popular bridging plans.

Comparing a bridging loan to a regular secured loan

Theoretically, they differ because bridging finance is used for short-term financing purposes only, whereas most other loans tend to be used for long-term financing. The speed of getting the cash transferred into your account is another major difference between these two loans. It can take weeks for high-street lenders such as Barclays to complete a loan; however, bridging finance can be arranged in 1 to 2 days.

How high are the interest rates?

Adding up the amount of the loan, interest, and administration fees ought to give you a good insight into the costs involved.

  • Loan size: Bigger loans usually have higher rates of interest due to the fact that they pose a greater risk to the lender.
  • Repayment terms: If you have taken out a closed bridging loan and have set a concrete date for repayment, the term of your loan might impact your interest rate, with longer loans subject to higher interest rates.
  • Closed bridging loans vs. open bridging loans: closed bridging loans have a set repayment date, whereas open bridging loans don’t have to be repaid by a set date.
  • Property value: How much your security is valued at also affects the interest applied to your loan. Once more, the more risk lenders face, the higher the rate is going to be.

Charges

In addition to the interest, you will need to pay a collection of different charges when you apply for a bridging loan, consisting of some of the following:

  • Valuation fees: Valuation fees cover the property surveyor’s costs for performing a valuation of your property.
  • Legal costs: This pays the solicitor and legal fees of the loan provider; normally, legal fees tend to be charged at a set rate.
  • Introducer fees: If you use a broker, this pays for the broker’s work searching for a loan.
  • Arrangement or facility fee: The cost of setting up the bridging finance, approximately 1-2% of the loan.
  • Administration fees: the cost of the paperwork at the end of the loan term.
  • Exit fees: roughly 1% of the loan—should you pay it back early? However, not all lenders charge this.

How to apply for Halifax bridging finance

Having some security, such as commercial property, land, or residential property, and a reasonable credit history are the two things you will need before you make an application for a bridging loan. The next step involves filling out an online loan application.

With a bridging loan, the key things lenders look at are the quality of the exit strategy and the value of the asset you’re offering as security. This is not cheap finance, so you have to know how you’re getting out before you get in.

Typical costs based on 0.55% rates over 12 months

Bridging Loan Amount Repayment Amount (excluding broker fees etc)
£50,000 £59,254
£60,000 £70,148
£70,000 £81,042
£80,000 £91,936
£90,000 £102,829
£100,000 £113,723
£110,000 £124,836
£120,000 £135,948
£130,000 £147,060
£140,000 £158,172

Let our AI software compare rates for bridging loans against high-street banks and other institutions:

Main Stream Banks
Barclays Halifax
HSBC Lloyds Bank
Martin Lewis Nationwide
NatWest Post Office
RBS Santander
Shawbrook Bank Skipton Building Society
Tesco Together Money
UK Bridging Loans Yorkshire Bank