Bridging Loan Calculator UK

This bridging loan calculator shows what a short-term property loan would cost before you speak to a lender. It covers the monthly interest, the total interest over the term, the arrangement, exit and valuation fees, and what you repay at the end. The results update as you type, and nothing is asked of you first.

Bridging interest is quoted per month, not per year. At 0.75% a month, a £250,000 loan costs £1,875 in interest every month you keep it, or £22,500 over 12 months before fees. The figure most people miss is the cash they actually receive on day one, because many lenders take the interest and fees out of the loan itself. The calculator shows that too.

Your figures

The numbers update as you type. Every figure is illustrative until a lender has seen the property.

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0.75% is a working figure. Ask us for live pricing.

Fees

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Estimated total cost of borrowing
£0
Monthly interest
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Total interest
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Gross loan£0
Cash released on day one£0
Loan to value (gross)0%
Arrangement fee£0
Exit fee£0
Valuation fee£0
Paid each month£0
To repay at the end£0
Get a tailored quote

Or call us on 0800 316 2224. If the numbers don't work, we'll tell you straight away.

For illustration only. Figures are not an offer of finance or advice. Your rate, fees and maximum loan depend on the lender, the valuation, the property, your exit and your circumstances. The calculator assumes simple monthly interest and that the arrangement fee is added to the loan. Legal fees and any broker fee are extra and agreed in writing before you commit. Clever Lending is authorised and regulated by the Financial Conduct Authority (FRN 795789). Find out more about our bridging loans.

Bridging loans at a glance

Loan size

£50,000 to £50 million

Regulated and unregulated, first and second charge.

Term

1 to 24 months

The market average was 12 months in Q2 2026.

Interest

Quoted monthly

The market average was 0.81% a month in Q2 2026.

Loan to value

Up to 75% as standard

More with additional security, such as a second property.

Speed

7 to 14 working days

On a simple, well-prepared case. The market average was 46 days in Q2 2026.

Regulation

FCA authorised, FRN 795789

We arrange regulated and unregulated bridging.

Market figures from Bridging Trends, Q2 2026. Clever Lending is one of the packagers that supplies data to Bridging Trends each quarter.

Illustration of an adviser explaining bridging finance costs to a property buyer

How is a bridging loan calculated?

A bridging loan is calculated by applying a monthly interest rate to the loan for each month you keep it, then adding the lender's fees. Most UK bridging uses simple interest on the gross loan, so the sum is straightforward.

  • Monthly interest = loan × monthly rate
  • Total interest = monthly interest × months
  • Total cost = total interest + arrangement fee + exit fee + valuation + legal costs

Worked example: £250,000 at 0.75% a month for 12 months, with a 2% arrangement fee, a 1% exit fee and a £995 valuation.

CostAmount
Monthly interest£1,875
Total interest over 12 months£22,500
Arrangement fee (2%)£5,000
Exit fee (1%)£2,500
Valuation£995
Total cost of borrowing£30,995

A few lenders compound rolled-up interest monthly rather than charging simple interest. On the same loan that adds about £950 over 12 months (£23,452 instead of £22,500). Your offer will say which method applies.

Why is bridging interest quoted monthly?

Bridging loans are quoted as a monthly rate because they are designed to last months, not years, and most are repaid early. A monthly rate shows the true cost of each month you hold the loan. 0.75% a month is 9% a year simple, or about 9.4% if compounded monthly.

An APR will usually look higher than either figure, because it spreads the arrangement and exit fees over a short term. Compare bridging quotes on total cost for the months you actually expect to need, not on the rate alone.

Rolled up, retained or serviced: how will you pay the interest?

How the interest is paid changes your monthly outgoings and the cash you receive, not the headline rate.

OptionWhat happensMonthly paymentsSuits
ServicedYou pay the interest each monthYesBorrowers with income to cover it who want a bigger net advance
Rolled upInterest builds up and is repaid with the loan at the endNoneRefurbishments and purchases where cash is needed for the project
RetainedThe lender deducts the interest for the agreed term from the loan on day oneNoneMost unregulated bridging. Unused interest is usually refunded if you repay early

Ask whether the lender charges a minimum interest period, and whether retained interest is refunded on early redemption. Both affect what an early exit costs you.

Model house with keys, representing a property used as security for a bridging loan

Gross loan or net loan: how much cash will you actually receive?

The gross loan is the full amount you owe the lender. The net loan is the cash that reaches your solicitor after retained interest and fees have been taken off. Most calculators only show the gross figure, and that is how buyers end up short at completion.

Worked example: you need £250,000 in hand to complete a purchase on a property worth £400,000. With 12 months' interest retained at 0.75% and a 2% arrangement fee added to the loan:

 Amount
Cash you need on day one (net)£250,000
Retained interest, 12 months£25,281
Arrangement fee, 2%£5,618
Gross loan you must borrow£280,899
Net loan to value62.5%
Gross loan to value70.2%

The gross figure is what lenders test against their maximum loan to value. Some cap on net and some on gross, and on a deal close to the limit that difference decides whether it works.

To run this yourself, choose The cash I need in hand and Retained in the calculator above. Or tell us how much cash you need, and we will work back to the gross loan and the lenders who can do it.

What happens if your exit takes longer than planned?

If your sale or refinance runs past the term, you keep paying interest, and you may also pay an extension fee or a higher default rate. On £250,000 at 0.75% a month, every extra month costs another £1,875 in interest, so three months late adds £5,625 before any penalty.

Default rates and extension terms vary a lot between lenders and are set out in your offer. That is why we look at the exit before the rate. A term with two or three months' headroom often costs less than an extension.

  • Exit by sale: is the asking price realistic, and how long are similar properties taking to sell locally?
  • Exit by refinance: will the property be mortgageable when the loan ends, and do you meet the mortgage lender's income criteria? Our remortgage calculator and commercial loan calculator show what the follow-on mortgage could cost.
  • Exit by funds due, such as an inheritance or a business sale: is the date documented?
Illustration of a home being bought with short-term bridging finance

Is a bridging loan regulated?

A bridging loan is regulated by the FCA when it is secured on a property where at least 40% is used, or intended to be used, as a home by you or a close family member (Regulated Activities Order, article 61). A chain break on your own home is regulated. A buy-to-let purchase, a commercial property or a business bridge usually is not.

Regulation does not change the arithmetic in this calculator. It does change the rules: the lender must check affordability, and regulated bridging terms are capped at 12 months. Regulated deals made up 48% of the bridging market in Q2 2026 (Bridging Trends).

What do lenders look at besides the numbers?

A bridging lender is looking for three things: security it can value, an exit it believes, and a borrower who can complete what they say they will. The rate you get follows from those three, more than from the loan size.

  • The property: type, condition, whether it is mortgageable today, and the valuer's view of value and saleability.
  • The exit: how and when the loan is repaid, with evidence.
  • You: experience with similar projects, credit history and, for regulated loans, affordability.
  • Purpose: chain breaks, auction purchases, refurbishments, business cash flow and second charge borrowing all have specialist lenders. Second charge was the largest single use in Q2 2026 at 22% of loans, ahead of chain breaks at 18%.

Where Clever Lending comes in

Clever Lending is an FCA-regulated specialist broker that arranges bridging loans from £50,000 to £50 million, regulated and unregulated, across chain breaks, auction purchases, refurbishments and commercial property. You speak to a named adviser from the first call, and our bridging specialists include advisers with backgrounds in residential valuation and lending.

Send us the outline and we will tell you the same day whether the numbers work, what the gross loan needs to be, and which lenders fit. If it doesn't stack up yet, we'll say so and explain why. When time is the pressure, see our fast bridging loans.

Speak To Someone Clever About Bridging Finance

Tell us the property, the amount you need in hand and how you’ll repay. We’ll come back the same working day with a likely route, the lenders that fit and a realistic timescale. Brokers: we’ll package your client’s case too. If it doesn’t fit, we’ll tell you immediately and explain exactly why.

Bridging loan calculator FAQs

At 0.75% a month, a £100,000 bridging loan costs £750 a month in interest. At the Q2 2026 market average of 0.81%, it costs £810. Fees are on top: a 2% arrangement fee is £2,000, and some lenders charge a 1% exit fee.
A bridging loan calculator is accurate for the arithmetic but only as good as the rate and fees you enter. The final cost depends on the lender, the valuation, how interest is paid and how long you keep the loan. Treat the result as a budget, then get a quote based on the actual property.
Most lenders lend up to 75% of the property’s value as standard. With additional security, such as another property, you can borrow up to 100% of a purchase price. The limit usually applies to the gross loan, including retained interest and fees, not just the cash you receive.
The gross loan is everything you owe the lender. The net loan is the cash released after retained interest and fees are deducted. On a £280,899 gross loan with 12 months’ interest retained at 0.75% and a 2% fee, the net advance is £250,000.
Yes, unregulated bridging is commonly available for up to 24 months, and longer terms are possible for heavy refurbishment. Regulated bridging on your own home is normally limited to 12 months. A longer term costs more in interest, but it can be cheaper than an extension if your exit is uncertain.
Expect an arrangement fee, a valuation fee and legal fees for both your solicitor and the lender’s. Some lenders also charge an exit fee, an admin or redemption fee, and a broker fee. Compare quotes on total cost over your expected term, not on the monthly rate.
Yes, lenders will run a credit check, but adverse credit does not rule you out. Bridging lenders put more weight on the property and the exit than on your credit score. Regulated bridging also requires an affordability assessment.
Simple, well-prepared cases can complete in 7 to 14 working days. The market average was 46 days in Q2 2026. The biggest delays are usually the valuation and the legal work, so we instruct both side by side.
No. MoneySavingExpert does not publish a bridging loan calculator, and pages using that name are unofficial. This calculator uses the same simple monthly-interest method that most UK bridging lenders use.
A bridging loan is a good idea when you need money quickly for a property and have a clear, realistic way to repay it within months. It is a poor fit when the exit depends on something you can’t control or time. The higher cost is worth it when the deal or the chain would otherwise fall through.
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