New bank Shawbrook offers short-term option for landlord buyers

 

New bank Shawbrook has launched a short-term loan for property investors.



Shawbrook, which launched in October, will be offering short-term loans of between £150,000 and £2.5m for the purchase of residential and semi-commercial investment property, funding up to 65% of the purchase price.



Loans will have a minimum term of three months and a maximum of 12 months.

 

Loans will be priced at 7.45% above three-month LIBOR, giving a current monthly interest rate of 0.7%.



There will be no early repayment change, and Shawbrook will require seven working days’ notice of redemption, subject to a minimum three-month period. Loans will be distributed through Shawbrook’s accredited brokers.

 

Stephen Johnson, new business director of Shawbrook Bank, said: “We are targeting the professional property investor with a proven track record looking to take advantage of the buying opportunities that exist in today’s market.”
 
 
 
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