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Glossary

Here, you’ll find information on industry terms and acronyms. We make things easier to understand at Velocity Bridging

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Term

The length of your loan agreement, usually displayed in months.

Rate

The interest rate you will pay, based on the gross loan amount.

Gross Loan

The total amount of money borrowed before deductions.

Net Loan

The actual sum of money that will be transferred to the borrower’s account after deductions.

LTV

Stands for loan-to-value. This is displayed as a percentage and shows the ratio between the value of the property and the size of the loan secured against it.

DIP

Stands for decision in principle. This is the first document the borrower will receive from us and will detail an illustration of the deal we are prepared to offer. This is not a formal offer document.