lend money secured by a
mortgage over UK property

12% average return per annum and you choose the deals

Whilst the loans which you invest are secured against property, your capital is at risk.

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12% annual

returns
VIEW STATISTICS

Whilst the loans which you invest are secured against property, your capital is at risk.

returns

The average interest paid to investors is 1% per month (12.68% annually).* Interest is paid monthly. The average loan term is 6 months and our maximum loan term is 12 months.

*your capital is at risk

security

We take a 1st or 2nd charge mortgage over UK property. All of the properties are valued by a RICS approved surveyors who indemnifies us as to the value. Our maximum loan to value is 70%.

As an investor, you are directly assigned part of the loan and mortgage pro rata to your investment.

secured

over UK property
VIEW LOAN BOOK

we put our money
where our
mouth
is

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we put our money into every deal

We only ever offer loans that we have personally invested into. The BridgeCrowd grew out of a family business. The directors, partners and founding family members have been involved in bridging for 20+ years and invest their own money into every single deal.*

We use our tried and tested underwriting criteria and take the same precautions with your money as if it was our own.

*subject to personal funds

meet the team

The experienced team have been lending and processing bridging loans for a combined 20+ years and come from a variety of financial and legal backgrounds.

loans underwitten and fully redeemed by team

£68,574,000

MEET THE TEAM

0

capital losses

the team have been lending since 2002
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view statistics

The team members have processed hundreds of loans and millions of pounds over the last 15 years and never lost any capital. They have developed extensive due diligence processes and procedures as well as paramount fraud prevention systems.

The statistics stated refer to net figures over the last 12 months of trading. Past returns are not necessarily a guide to future returns. The net return shown for each investment is the net return after fees but before any deduction for tax and the return is specific to each loan. Your capital is at risk.

we are proud of what we do

we have new secured investment opportunities available weekly, see some of our live loans below.

VIEW LOAN BOOK

127 Hamilton Road, Golders Green, London, NW11 9EG

19/01/2016

127 Hamilton Road, Golders Green, London, NW11 9EG photo

loan value

£205,000.00

LTV

30%


charge

1st

interest rate p/m

1%

Flat 30, Horton House, 15 Lovelinch Close, London, SE15 1HG. Title Number TGL242426.

11/04/2016

Flat 30, Horton House, 15 Lovelinch Close, London, SE15 1HG. Title Number TGL242426. photo

loan value

£102,607.00

LTV

47%


charge

1st

interest rate p/m

1%

243 Kingsheath Avenue, Rutherglen, G73 2DA

17/11/2015

243 Kingsheath Avenue, Rutherglen, G73 2DA photo

loan value

£65,000.00

LTV

40%


charge

1st

interest rate p/m

1%

Balnaird Steading, Heights of Inchvannie, Strathpeffer, Rossshire, IV14 9AE

30/04/2016

Balnaird Steading, Heights of Inchvannie, Strathpeffer, Rossshire, IV14 9AE photo

loan value

£362,000.00

LTV

43%


charge

2nd

interest rate p/m

1%

Portland Crescent

20/06/2016

Portland Crescent photo

loan value

£83,000.00

LTV

54%


charge

2nd

interest rate p/m

1%

234 Barry Road, London, SE22 0JS

27/06/2016

234 Barry Road, London, SE22 0JS photo

loan value

£211,951.20

LTV

57%


charge

2nd

interest rate p/m

1%

Kingsbrooke, Cranbrook Road, Staplehurst, TN12 0EU

26/06/2016

Kingsbrooke, Cranbrook Road, Staplehurst, TN12 0EU photo

loan value

£140,000.00

LTV

64%


charge

2nd

interest rate p/m

1%

Westfield, 55 Seabank Road, Nairn, IV12 9HA

13/07/2016

Westfield, 55 Seabank Road, Nairn, IV12 9HA photo

loan value

£290,000.00

LTV

50%


charge

2nd

interest rate p/m

1%

(1) Flat 2 CR0 4HB (2) 89 CR0 5BP

11/08/2016

(1) Flat 2 CR0 4HB (2) 89 CR0 5BP photo

loan value

£51,302.00

LTV

58%


charge

2nd

interest rate p/m

1%

(1) Meadow Cottage, Davenport Lane, WA16 7NB
(2) Land on Northern Side of Davenport Lane, WA16 7NB

14/09/2016

(1) Meadow Cottage, Davenport Lane, WA16 7NB<br>
(2) Land on Northern Side of Davenport Lane, WA16 7NB photo

loan value

£460,000.00

LTV

60%


charge

2nd

interest rate p/m

1%

frequently asked questions

what is our aim?

BridgeCrowd is a growing group of like-minded people and businesses whose aim is to improve their finances through borrowing and lending between each other. By bypassing banks and connecting through technology real people make real decisions about bridging loans and benefit from better than market rates all secured over UK property.

what is a bridging loan?

A Bridging loan is typically used to cover shortfalls in funding or finances and it is “secured” against a property. Basically, like a short term mortgage.

who is a typical borrower? what do we lend against?

The type of borrowers that apply vary and range from property developers looking to renovate, refurbish, develop or buy new properties to business owners looking to improve their business. The one commonality in all of our loans is that the borrowers own a property that we feel comfortable to hold as security until our loan is repaid.

We lend against UK property and land. The majority of our deals are over UK residential properties. We will consider securing over the semi-commercial and commercial securities if the loan to value fits are criteria. Our maximum loan to value is 70%.

how do we make money?

BridgeCrowd makes its profit from the spread in interest rate that is charged to its borrowers and the rate that it pays its investors. For example, borrowers typically pay interest at 1.25%, of which investors receive 1% per month and BridgeCrowd receives 0.25% per month.

do you have a secondary market?

Yes, and it is quite active

underwriting, fraud, valuations...

Risk, Underwriting and Fraud

The Team

The team have been lending and processing bridging loans for 15+ years and have a combined experience of over 50 years. Our background ranges from accountants, insolvency practioners, barristers, solicitors and loan underwriters. Their experience in bridging has taught them what deals to enter and what deals to turn down. Importantly we know the loan to value criteria’s for different styles of properties as well as when to allow a loan extension and when to re-possess. We have developed extensive due diligence processes and procedures as well as paramount fraud prevention systems. Of note, is that we have processed thousands of loans and millions of pounds and never lost any capital. meet the team

Valuations and Loan To Value

We always obtain an independent property valuation from one of our paneled or approved Royal Institute of Chartered Surveyors (RICS) that have passed our due diligence and compliance procedures. We check their experience and the level of their indemnity cover to insure against any negligence or under-valued properties. The valuer will physically visit and inspect the property and provide us with a comprehensive report and photos of the property that we are lending against. This will include details on the local market, and evidence of comparable recent sales for the property as well as any other specific requirements that are of importance.

Indemnity

The surveyors also provide an indemnity against the valuation that they placed on the security. This provides a secondary layer of security. Should the valuation be dramatically different from the sale price that is achieved should we foreclose and sell the property, then the surveyor’s insurance company covers us for any economic loss after it has been mitigated.

Solicitors

Our Solicitors process over £45million of loans and repayments each month for some of the UK’s largest bridging lenders. Suffice to say, they are regarded as one of the specialist legal teams in the industry for both due diligence and recovery.

Our solicitors undertake additional due diligence on every borrower as well as the property security, title deeds, local searches and borrower's solicitor. Our solicitors draft the loan agreements that have been refined over years of experience as well as register the legal charge over the security (unless the clients solicitor is registering the charge).

We perform extensive due diligence on the borrower's solicitor insuring that they have appropriate indemnity cover and at least 3 partners.
In addition, every borrower is required to meet a solicitor in person and seek independent legal advice. The solicitor must meet the borrower and explain the loan agreement and the consequences of not repaying to borrower. This is done so that the borrower can not state they were unaware of what they were entering into and unsure of the potential consequences if they do not repay the loan. The solicitor also witnesses their signature of the loan and mortgage to ensure that the right borrower signs the contracts.

Borrower’s Due Diligence

We also undertake an extensive variety of far reaching searches on the borrower (and the borrower's solicitor) to ensure that all parties and the statements of the borrower are backed up with evidence.

We search credit reference agencies, insolvency searches, courts searches, bankruptcy searches, and PEP sanctions

Additionally, our fraud prevention technology plugs into major credit agencies and we ensure that every borrower provides identification and documentation that is authenticated to high level of security.

Hedge your risk

You have access to multiple loans and as such, you can spread your risk over multiple deals with varying repayment deadlines and interest rates.

what return can I expect and how long are the loans?

This depends on the loan to value and type of security, as a guide the following are the current returns paid to investors.

LTV
Under 50%
LTV
50% - 70%
1st charge loans 0.6% per month 0.8% per month
2nd charge loans 0.8% per month 1% per month

what is the risk? where does my money go?

Although to date we have not lost any capital, previous historical performance is only an indicator of future performance. Any investment carries risk and the value of the security can go up as well down. For example, if the property market collapses our loan to values will be closer to 90% / 100%. A good investment strategy would be to spread your funds out over a few deals to limit your exposure to any particular property.

are there any fees?

No, we do not charge investors any fees for membership or withdrawing funds and will not charge investors any fees, ever!

what happens if the loan defaults?

This varies on each individual loan. Sometimes we may extend the loan and on other times we may appoint receivers to re-posses the property and sell it in a timely manner. We always build into our loans the ability for the borrower to extend the term by a further period (3 – 12 months). This is especially important in cases where the borrower is selling the property and it is on the market, we may give the borrower more time to pay. On the other side, should the property be on the market for 12-15 months and it has not had any firm offers, we will ask the borrower to reduce the asking price. Where the borrower refuses to do such, we would then consider appointing receivers. In any extension or default period, interest is still accruing. Should you not wish to take part in the loan post extension you can always sell your loan part on the secondary market.

The decision of how to manage the loan and whether to allow an extension or appoint receivers rests with the BridgeCrowd. We will take notice of the investors’ opinions, especially if investors have a large stake in a particular loan, but we can not run the loans by the committee. As such – the management of the loan rests with the experience of the BridgeCrowd.

what happens if we stop trading or become insolvent?

Naturally we have no intention of doing so. However, if the BridgeCrowd were to become insolvent we have ring-fenced your investment.

Social Money Holdings Ltd is a non-trading vehicle that holds the loan agreements and mortgages with the borrowers in a trust on behalf of you, the investors. Should the BridgeCrowd stop trading or become insolvent, then your investments and the loans are ring fenced from the BridgeCrowd insolvency. Your loans would then be managed by the solicitors on trust (rather than the BridgeCrowd) until all loans are redeemed and the loan book is closed.