Blend Network revises price matrix
Development finance and bridging peer-to-peer lender Blend Network has launched a revised product price matrix.
Blend will now price its bridging loans from 0.7% pcm and its refurbishment and development finance loans from 0.75% pcm.
The lender’s revised term sheet will allow brokers and borrowers to compare terms with the wider market more easily and efficiently; the more comprehensive term sheets are backed by a team of property experts able to answer any questions borrowers may have.
This news follows a period of rapid growth for Blend Network, with the expansion of its lending team and recent lending milestones.
In 2020, Blend Network increased its lending by 104% compared to the previous year, and it is now on track to more than double its lending in 2021.
On 23 March 2021, the lender funded the first tranche of a £2,600,000 lending facility in just six minutes.
Blend offers loan sizes of between £150,000 and £5m, up to 75% LTGDV and 90% LTC, and 100% build costs.
Yann Murciano (pictured), chief executive at Blend Network, said: “The development finance market is notorious for its lack of transparency, for its inefficiency and for its fragmentation.
“So, by launching new revised term sheets that show terms with rolled-up interest and the retained interest equivalent terms we strive to bring greater transparency into this market.
“For example, our 6-months pre-agreed loan extension with the same interest rate and no admin charges is a testament to our willingness to build long-term relationships with our borrowers.
“At a time when many lenders are aggressively making their money from default rates and repossessions, we have demonstrated time and again that we are in the business of building long-term relationships.”
Paul Watson, head of origination at Blend Network, added: “The past year has provided a real opportunity for alternative lenders like us to demonstrate the true merits of our flexible and customer-focused source of funding.
“Sadly, the development finance and bridging market has traditionally been characterized by a deep lack of transparency and a sense of ‘wild west’ where many lenders are trying to pick-up one-time business and charging exorbitant rates.
“We’re proud to have a built a service-focused business that puts clients first, sticks by its borrowers and bring a breath of fresh air to the market with a transparent price structure and competitive gearing.”