Free calculator
Bridging loan cost calculator
Enter the loan, the term, the monthly rate and the arrangement fee. The calculator shows the total cost of the bridge, a month by month breakdown, and the cost as a percentage of the loan.
Figures are illustrative only. They are not advice, not a quote and not an offer of finance. Lender criteria vary and change.
How the calculation works
Bridging interest is quoted monthly and usually retained: the lender deducts the full term's interest from the advance up front, so nothing is paid monthly but you receive less on day one. The arrangement fee, typically around 2%, is added or deducted too. Valuation and legal costs, commonly £1,500 to £3,000 combined depending on the property, sit on top; they are not included in the figures here. The number to hold on to is the total cost as a percentage of the loan: a 12 month bridge often costs 12% to 15% of the amount borrowed, which is why the exit matters more than the rate. What the exit involves is covered in our guide to exiting a bridging loan.