Quick answer
Yes, with some lenders. From 21 October 2026, Masthaven Finance lets borrowers across its bridging range add their legal fees to the loan instead of paying them upfront. The fee is added on top of the agreed advance rather than taken out of it, so you can still borrow the full amount at the maximum loan to value. The arrangement fee is usually added to a bridging loan already, but legal and valuation fees have normally been paid by the borrower before completion. In the same week StreamBank launched loans of £350,000 to £5 million over 12 to 60 months for wealthy borrowers whose exit needs longer than a typical bridge, and Lendco closed a £455 million securitisation. Upfront costs, the length of the term and how a lender is funded all matter as much as the headline rate.
What has Masthaven changed?
On 21 October, Masthaven Finance removed the need for bridging clients to pay legal fees upfront. As reported by Mortgage Solutions and Bridging & Commercial:
- The option applies across Masthaven's bridging range, and clients can choose whether to use it.
- The legal fee is added on top of the agreed advance rather than deducted from it, so the full loan amount is still available at maximum loan to value.
- Where an automated valuation model (AVM) can be used instead of a full survey, clients can face even fewer upfront costs.
Jim Baker, sales director for bridging and development at Masthaven, said: "Brokers regularly tell us that having to pay legal fees upfront can be a barrier for clients." He added that removing that requirement "gives clients greater flexibility and helps speed up the process". Masthaven is one of the lenders on our panel; see our Masthaven Finance lender profile.
Which bridging fees can be added to the loan?
Every lender sets its own rules, but the usual pattern is:
- Arrangement fee: commonly 1% to 2% of the gross loan and usually added to the loan.
- Interest: often retained or rolled up, so nothing is paid monthly. The lender deducts it from the advance or adds it to the balance.
- Valuation fee: usually paid upfront to the lender's surveyor, unless an AVM or desktop valuation is accepted.
- Legal fees: your solicitor's and the lender's solicitor's, normally paid by you. Masthaven's change means these can now be added to the loan on its bridging products.
Adding a fee to the loan is not free money. You pay interest on it for the life of the bridge, and it is repaid with the rest of the loan at the end. But it can help when your cash is tied up in the deposit, refurbishment costs or a property that has not yet sold. Our guides to bridging loan fees and how much a bridging loan costs show when each fee is paid, and LTV and LTGDV explained covers how lenders cap the total.
What if your exit needs more than 12 months?
Most bridges run for 12 to 24 months at most. StreamBank, another lender on our panel, launched a high net worth structured finance product on 20 October for borrowers whose repayment will take longer. According to Mortgage Solutions:
- Loans run from £350,000 to £5 million, with facilities over £3 million needing extra approval.
- Terms run from 12 to 60 months, at up to 65% loan to value, lower for larger loans.
- Security is residential property in England, Wales and Scotland, for purchases, refinancing and evidenced capital raising.
- Interest can be fully rolled up, part serviced or fully serviced.
- At least one borrower needs net income of £300,000 a year or net assets of £3 million, not counting their main home.
Richard Armstrong, chief commercial officer at StreamBank, said: "The reality is that high-value property and business transactions don't always adhere to a 12-month timeline." See our StreamBank lender profile, and our page on large bridging loans for higher-value cases. If your exit is a refinance rather than a sale, bridge-to-term finance agrees the longer loan at the start.
Are bridging lenders still well funded?
How a lender is funded matters, as our report on what happens if a bridging lender collapses explains. This week brought a sign of investor appetite. On 21 October, Lendco, a specialist property lender, said it had closed its eighth securitisation, with £455 million of loans, upsized from a provisional pool of £390 million, as reported by The Intermediary. It said its issuance this year is close to £1 billion, a record for the firm.
A securitisation sells a pool of loans to investors, which frees up the lender's money to lend again. Strong demand for these deals helps keep funding flowing to specialist lenders, even while mortgage rates are volatile. Our guide to choosing a bridging lender lists the questions to ask about funding before you sign.
What it means for your funding
Lenders are competing on more than price. Earlier this month several cut rates and launched refurbishment products, as our report on October's lender moves shows. Now the focus is on upfront costs and terms. When you compare offers, look at:
- Which fees must be paid before completion, and which can be added to the loan.
- Whether the term fits your real exit, with room for delays. Our guide to bridging exit strategies explains what lenders expect.
- How quickly the lender can complete. See how long a bridging loan takes.
We search the market and approach the lenders on our panel whose fees, terms and criteria fit your bridging loan.
Common questions
Can legal fees be added to a bridging loan?
With some lenders, yes. Masthaven Finance has let borrowers across its bridging range add legal fees to the loan since 21 October 2026. With many other lenders, legal fees are still paid by the borrower before completion, so check each offer.
Are bridging loan fees added to the loan?
The arrangement fee is usually added to the loan, and interest is often retained or rolled up. Valuation and legal fees are normally paid upfront, although some lenders now allow them to be added.
What is the longest term for a bridging loan?
Most bridges run for up to 12 to 24 months. Some lenders offer longer, more structured loans: StreamBank's high net worth product, launched in October 2026, runs for 12 to 60 months.
Does adding fees to a bridging loan cost more?
Yes. Any fee added to the loan accrues interest for the term and is repaid with the loan, so it increases the total cost. It helps with cash flow at the start rather than reducing the overall price.
This article reports news and published figures as at 22 October 2026. It is for general information only and is not legal, tax or financial advice. Bridge & Build Finance is a commercial finance brokerage service, not a lender. Finance is subject to status, lender criteria, valuation, underwriting and approval.
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