TAB has unveiled a new ‘life cycle’ lending product known as TAB Series. This innovative solution is meticulously designed to support borrowers at every stage of a property’s life cycle—from initial purchase to long-term management.
The TAB Series package introduces a unique approach to property finance by offering a seamless transition between different types of loans. Borrowers start with an initial bridging loan, which enables them to swiftly purchase assets. If the property requires upgrades or renovations, a refurbishment loan is readily available. Finally, the package culminates in a long-term commercial mortgage, providing a stable financing solution for the extended duration of property ownership.
Enhanced Valuation and Competitive Rates
Building on its recent successful private securitisation facility with major partners NatWest and Atalaya Capital Management, which secured £300 million, TAB is also refining its valuation methods. Transitioning from 180-day valuations to using open market values (OMV) for residential bridging loans up to £2.5 million enhances the accuracy and relevance of property assessments under current market conditions.
This adjustment in valuation strategy is complemented by a reduction in interest rates across TAB’s residential bridging finance options, now starting from a competitive 4.99% per annum over the base rate. These changes collectively improve TAB’s capability to meet diverse market demands effectively.
Cost-Efficient Borrowing
With the launch of TAB Series, borrowers can access loans up to £7.5 million, and enjoy considerable savings. The series offers a reduction of 2.75% on fees, alongside decreased costs for legal services and property valuations. This integrated financing approach not only simplifies the borrowing process but also makes it more economical, allowing borrowers to maximise their investment potential.
A Tailored Solution for a Changing Market
Duncan Kreeger, CEO and founder of TAB, expressed his enthusiasm for the new product, stating, “I am happy to introduce TAB Series to the market, our latest innovation designed to meet the needs of borrowers grappling with a changing interest rate environment.” He emphasised that TAB Series was crafted to fill a significant gap in the market, ensuring continuous support for borrowers throughout their property journey.
Kreeger further highlighted the holistic approach of the TAB Series, which prioritises the borrowers’ needs from the acquisition through to management and eventual disposal of the property. This strategy, combined with the financial adjustments announced, empowers borrowers to seize opportunities that were previously out of reach due to cost constraints.