Whether you need to solve a cash flow problem, bridge the gap between purchasing a home and obtaining a mortgage, or swiftly turn around a project.
A bridging loan, also known as a bridge loan, is a type of short-term mortgage that is used to "bridge" the gap between the purchase of one property and the sale of another. These loans are typically used by individuals and investors to purchase a new property before they have sold their current property.
Bridging loans are usually for a shorter term than traditional mortgages, usually between 6-24 months. They are often used as temporary financing while a longer-term financing option is being arranged.
Bridging loans tend to have higher interest rates than traditional mortgages because of the higher risk and short-term nature of the loan. It's important to consider the long-term implications of a bridging loan and seek professional advice before making a decision.
Bridging finance is best known for funding a house purchase while a sale is delayed, but consumers are increasingly utilising it to make rapid acquisitions, allowing them time to remodel the new property before selling the old one.
We deal with businesses that need short-term financing for a number of reasons. Purchasing sites prior to planning, bridge to let and assisting in the acquisition of property before longer-term financing is available.
Bridging loans are also used to purchase property at auction for renovation or refurbishment before reselling or transferring to a buy to let for renting. Our quick response times make us an excellent choice for auction purchase finance.