Fewer lenders, a lower loan or extra conditions. The loan that fits: Purchase bridge, as this is a home that can be let or sold as it is. The things to check above are what a lender will look at too.
- Likely loan
- Up to 75% of the priceOn the purchase price
- On the expected hammer
- About £733,000The guide plus 15%; Savills lots have sold at +22% on the guide (median of 248)
- Example rate
- 0.75% to 0.95% a monthArrangement fee about 2%
In its favour
- Peartree station, about 11 minutes' walk
- Sold vacant
What lenders will note
- Check Outside London and the Home Counties (Derby): fewer lenders, and values need strong local evidence
- Check Conversion potential is subject to planning: lenders lend on today's value until consent is granted
If you let it
Typical rent about £615 a month, a gross yield of 0.8% on the expected hammer. The rent supports a buy-to-let mortgage of about £107,000, 11% of the expected hammer: refinancing out of a bridge needs more cash in, or a sale.
ONS average for a 1-bed home in Derby, Sept 2026. Refinance test: rent covers the interest 125% at a 5.5% stress rate, as lenders test a limited company; personal borrowers are often tested harder.
Information a lender will need first
- The tenure (freehold or leasehold)
- The floor area (an EPC or a floorplan)
What a lender will ask you for on a purchase bridge
- Photo ID and proof of address
- Proof of your deposit and where it came from
- The legal pack, read by your solicitor before you bid
- Your exit plan: sale or refinance, with evidence (comparables, or a mortgage in principle)
- A valuation, which the lender instructs
We have access to lending of up to 75% of the purchase price, with up to 100% of the build cost. Tell us about the lot and we can put you in touch. Ratings and figures are a guide from the published facts, not an offer of finance or advice. Stations from NaPTAN.