It allows clients, whether they are developers or buy-to-let investors, to borrow 100% of the refurbishment costs of the property as long as the cost does not exceed 75% of the Gross Development Value.
The maximum loan amount that can be advanced is £500,000, with a 1.45% interest rate applied monthly. The LTV is based on the property’s open market value rather than the purchase or forced sale price.
Commenting on the launch, Gary Booth, CEO of Tiuta said: “This will give property investors the funds to refurbish their chosen property. Refurbridge is therefore ideal for those investors who may have bought their property at auction and wish to make significant improvements to the property.
“The application process is designed to be as simple as possible with the initial refurbishment costs released on Tiuta’s first inspection, with further drawdowns paid at later stages in the refurbishment process.”
Tiuta, which is regulated by the FSA, aims to offer a DIP on its bridging loan products within an hour and make funds available within 24 hours.
