Grab 2 & 5 year fixed rates from 4.47% & 5.69% respectively 19.05.2009

Author: David Whittaker Posted on: 19 May 2009

This lender is really after trading businesses in freehold or long leasehold property where there is  a proven track record of profitabilty in the last 2 years accounts with a budget for current FY that shows continuing satisfactory performance.

Priced daily, rates on 19 May are

• 2 year fix - 4.47%
• 5 year fix - 5.69%

Lender fee - typically 1% of loan amount, a broker fee of 0.5% and ERC as:

• 2 year fix - 4% in Year 1 and 3% over the next 3 years - effectively an overhang but reverts to a pre-agreed margin over BBR
• 5 year fix - 5% in Years 1, 2 and 3, 4% in Year 4 and 3% in year 5

Normal loan to value parameters to 75% on most standard commercial property types.