Bridging Loan Cost Calculator
Get an indicative estimate of bridging loan costs, including typical fees and interest.
For illustration only. Actual costs depend on lender assessment and your circumstances.
Loan Details
£
1 month
12 months
24 months
Typical rates: 0.44% - 0.85% per month
Interest added to loan upfront. No monthly payments required.
Typical: 1.5% - 2% of loan amount
Some lenders charge 0%, others up to 1.5%
Estimated Additional Costs
£
£
£
£
Total Cost of Borrowing
£26,045
Day 1 Net Loan
£274,200
Total Repayment
£326,045
Cost Breakdown
Total Interest
£19,800
Arrangement Fee
£6,000
Exit Fee
£3,000
Valuation Fee
£750
Legal Fees
£1,500
Broker Fee
£0
Admin Fee
£295
Total Fees & Interest
£31,345
Effective Annual Rate
8.7%
This is the true cost when fees are included, annualised.
Understanding Bridging Loan Costs
Retained vs Serviced Interest
Retained:
Interest is calculated upfront and added to the loan. You pay everything at the end. Good for projects where cash flow is tight.
Serviced:
You pay interest monthly like a mortgage. Total cost is lower as you only pay interest on capital outstanding. Requires proof of income.
Typical Fee Ranges
Arrangement Fee
1.5% - 2.5%
Exit Fee
0% - 1.5%
Valuation
£500 - £1,500+
Legal (both sides)
£1,000 - £3,000+