The first question in any bridging loan conversation is “how much will I actually receive at completion?” The gross loan and the net advance are not the same figure. Arrangement fees and, in retained interest structures, the full interest for the term are deducted at drawdown. A £300,000 gross loan with a 2% arrangement fee and 9 months of retained interest at 0.75% per month produces a net advance of approximately £273,750. This calculator shows that figure clearly alongside the total cost, daily cost, and cost per pound borrowed so the borrower can see the full picture before committing.
For more detailed analysis, including comparing two quotes, modelling different interest structures, or testing early exit scenarios, the specialist calculators linked below each focus on a specific question. All figures on this page are illustrative and the tool does not constitute financial advice.
At a Glance
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The net advance is the figure that determines whether the deal works.
This calculator works backwards from the gross loan to show the cash that actually arrives at completion after fees and retained interest are deducted. If the net advance falls short of the completion figure required, the deal has a funding gap that needs to be closed before drawdown.
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The cost per pound borrowed and the daily cost are the two most practical comparison metrics.
Cost per pound divides the total cost of finance by the net advance, showing how much each pound of usable funds costs. Daily cost translates the monthly pricing into the figure that matters when a delay is measured in days. Both are shown prominently in the results.
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Seven specialist bridging calculators cover every angle of cost analysis.
This page covers the core cost calculation. The specialist tools below cover LTV and multi-property security, APRC conversion, two-quote comparison, interest structure analysis, early exit modelling, delay cost, and auction timelines. Each focuses on one question and does it thoroughly.
Interactive tool
Bridging loan calculator
Calculate the net advance, total cost, daily cost, and cost per pound borrowed on a bridging loan. Choose the interest structure and see how fees and retained interest reduce the cash received at completion.
All figures are illustrative. Nothing you enter is stored or transmitted.
Net advance (cash received at completion)
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Retained interest is simple monthly interest deducted at drawdown. Rolled-up interest compounds monthly on the outstanding balance. Serviced interest is paid monthly and does not reduce the net advance. Arrangement fees are deducted from the gross loan. Exit fees are payable at redemption. Daily cost uses 30.44 days per month. This tool does not constitute financial advice. All figures are illustrative only.
How the calculator works
Enter the gross loan amount, monthly interest rate, term in months, arrangement fee percentage, exit fee percentage, and choose the interest structure. The tool calculates the net advance (what arrives at completion), the total cost of finance (interest plus all fees), the redemption amount (what must be repaid at exit), the cost per pound borrowed, and the daily cost. The cost breakdown cards split the components so the borrower can see exactly where the money goes, and the cost bar visualises the split between net advance, interest, and fees.
The interest structure selector is critical. On a retained structure, interest for the full term is deducted at drawdown, reducing the net advance significantly. On a rolled-up structure, no interest is deducted but the redemption amount grows as interest compounds. On a serviced structure, monthly payments are required but both the net advance and redemption stay closer to the gross loan. The guide to retained vs rolled-up vs serviced interest explains each structure in detail with worked examples, and the gross vs net borrowing guide covers how fees and interest affect the net advance.
Cost per pound and daily cost: why they matter
Most bridging calculators show total interest and total cost. This one adds two metrics that are more useful in practice. Cost per pound borrowed divides the total cost of finance by the net advance. It answers: for every pound that actually reaches the borrower at completion, how much does the facility cost? This is the fairest single comparison figure when evaluating whether a facility is efficient, and it is particularly useful when comparing two quotes with different fee structures, because the total cost alone does not account for differences in net advance.
Daily cost divides the total cost by the number of days in the term. It translates the monthly pricing into the metric that matters when a project overruns by two weeks or a sale is delayed by a solicitor’s availability. A facility that costs £90 per day during the planned term may cost £180 per day during an extension once fees and rate uplift are included. The delay calculator models that extension scenario in detail, and the early exit modeller shows the saving from exiting before the full term.
All bridging loan calculators
Each of these tools focuses on a specific bridging question. Use them individually or in combination depending on where you are in the process.
Compare quotes
Two-quote comparator
Enter two bridging loan quotes side by side to see which delivers more cash on day one, costs less overall, and produces the better cost per pound borrowed. Includes an early exit slider showing where one overtakes the other. Compare quotes
Interest structures
Interest structure comparator
Model the same loan under all three interest structures simultaneously: serviced, retained, and rolled-up. See the net advance, total cost, and cost per pound for each side by side. Compare structures
LTV and security
LTV calculator
Calculate net and gross LTV, see the maximum borrowing at each tier with indicative rate bands, and model multi-property security to reduce the effective LTV and unlock better pricing. Calculate LTV
Annual rate
APRC calculator
Convert a monthly bridging rate to an annualised APRC with and without fees. See how the effective annual cost changes at different term lengths and how bridging compares to other borrowing types. Convert to APRC
Early exit
Early exit modeller
See the total cost of exiting at any month, with minimum interest period modelling and retained interest rebate comparison. Shows the cost floor and the saving at every exit point. Model early exit
Extension cost
Delay calculator
Model the cost of running beyond the planned term, including higher extension rates, extension fees, and the daily cost of every extra day on the facility. Calculate delay cost
Auction purchases
Auction finance timeline
Enter your auction date to see the completion deadline and all milestone dates. Track pre-auction readiness with a six-item checklist and see where delays most commonly occur in the 28-day window. Plan your timeline
Not sure what to look at next?
All of our bridging loan guides and tools in one placeFrequently asked questions
Why is the net advance lower than the gross loan?
Because fees and, in retained interest structures, the full interest for the term are deducted from the gross loan at drawdown. On a £300,000 gross loan with a 2% arrangement fee (£6,000) and 9 months of retained interest at 0.75% per month (£20,250), the net advance is approximately £273,750. The gross loan is the facility size registered against the property, but the net advance is the cash that actually reaches the borrower at completion. Planning around the gross figure rather than the net figure is one of the most common causes of completion shortfall in bridging finance.
For serviced and rolled-up structures, only the arrangement fee is deducted at drawdown, so the net advance is closer to the gross loan. But the redemption amount is higher on a rolled-up structure because interest compounds onto the balance. The gross vs net borrowing guide explains the distinction in full.
What does “cost per pound borrowed” mean?
It is the total cost of finance (interest plus all fees) divided by the net advance (the cash actually received). Using the example above, the total cost of finance is £26,250 (£6,000 arrangement fee plus £20,250 retained interest) and the net advance is £273,750, giving a cost per pound of approximately 9.6p. This means for every pound that reaches the borrower at completion, the facility costs 9.6 pence. The metric is useful because it captures both the total cost and the net advance in a single number, making it possible to compare two facilities fairly even when one has a lower total cost but also delivers less cash.
The quote comparator uses this metric as the tiebreaker when two quotes have different interest structures and therefore different net advances.
How does the interest structure affect the calculation?
The three structures produce very different financial profiles on the same gross loan. Retained interest deducts the full interest upfront, reducing the net advance but keeping the redemption close to the gross loan. Rolled-up interest does not reduce the net advance but compounds monthly, increasing the redemption amount. Serviced interest requires monthly payments but keeps both the net advance and redemption closer to the gross loan. The structure chosen affects how much cash arrives on day one, whether monthly payments are required, and how much must be repaid at exit.
The interest structure comparator shows all three simultaneously on the same inputs so the borrower can see the trade-offs directly.
Is this calculator accurate enough to use for planning?
It provides a realistic illustrative estimate that is accurate enough for initial planning, bid preparation, and comparing the broad economics of different scenarios. The actual figures on any specific deal will depend on the lender’s exact terms, the valuation, and any additional costs such as legal fees, valuation fees, and broker fees that are not included in this calculator. For a more complete picture, request a formal illustration from a broker, which will include all costs and show the precise net advance and redemption figures for the specific facility being offered.
The figures this calculator produces are consistent with those a broker would use for initial modelling. The main simplification is that retained interest is calculated as simple monthly interest, whereas some lenders may apply slightly different calculations. The difference on typical bridging terms (3 to 18 months) is small.
Squaring Up
The net advance is the most important figure in any bridging transaction because it determines whether the deal can physically complete. This calculator shows it clearly alongside the total cost, daily cost, and cost per pound borrowed, giving the borrower the four numbers that matter most at the planning stage. The interest structure selector ensures the calculation reflects the actual loan mechanics rather than a generic assumption about how interest is charged.
For borrowers who need to go deeper, seven specialist bridging calculators are linked from this page, each focusing on a specific question: comparing two quotes, analysing interest structures, modelling LTV and multi-property security, converting to APRC, testing early exit scenarios, calculating delay costs, and planning auction timelines. Together they form the most comprehensive bridging cost analysis suite available online.
Continue your research
Guides, calculators, and comparators covering every aspect of bridging finance Explore guides and toolsThis tool is for illustrative purposes only and does not constitute financial advice. Retained interest is calculated as simple monthly interest on the gross loan. Rolled-up interest compounds monthly. The calculator does not include legal fees, valuation fees, or broker fees, which would increase the total cost and may reduce the net advance further. Your property may be repossessed if you do not keep up repayments on a bridging loan. Actual outcomes will depend on your individual circumstances and the specific terms offered by the lender.
