Aspen Bridging has announced it is entering the the bridge-to-let market with a new product.

The bridging lender’s offering is designed to offer wider use flexibility and lower ERCs than existing bridge-to-let or hybrid options.

Aspen revealed the product will be available up to 80% LTV and with bridge rates starting at 0.64% per month and bridge-to-let rates of 4.49% per annum. The product is open to UK and foreign applicants, including first-time buyers, up to a maximum loan size of £10m.

Terms run for either 18 months or two years, which are split equally between the retained bridge initial period and the serviced bridge-to-let. Aspen said is targeting several types of borrower including those undergoing heavy to medium works cases or HMO conversions, and those seeking development exits.

Furthermore, once on the serviced bridge-to-let, Aspen confirmed that the borrower would have the option to either refinance onto the best longer-term buy-to-let rates in the market, or to sell without heavy ERCs.

“Having launched bridge-to-let as a pilot from October last year we are very excited to now be launching to the whole broker community,” commented Aspen director, Jack Coombs.

“We believe we are filling a true gap in the market here and we are confident our new product will make up to 50% of our planned growth in 2022 and beyond.”

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