Bridging Finance: Short Term Property Funding
Fast Flexible Short-Term Secured Finance for any Purpose
Fast Fexible Short-Term Secured Finance for any Purpose
Bridging finance is short-term lending secured on property or land as an interim solution while other long term finance arrangements are made, or while property transactions are completed.
Lending can be provided in situations where conventional mortgage lenders are unable to advance funds. Where timing is crucial to securing the deal, a bridging loan can also be provisioned much faster.
Bridging is very often the facility of choice for property investors who need to act fast with ‘cash-buyer’ status. With flexible underwriting, bridging can accommodate a wide array of situations and applicant status, and can allow for a very diverse range of property constructions than conventional forms of secured lending. Short-term bridging facilities can be arranged for completions in just days rather than weeks, and may be available for durations from 1 day or up to 24 months. Loan size starts from £25,000 up to £15 million, with larger facilities also available by negotiation. Applicants can be private individuals or corporate entities and partnerships.
Bridging Finance is available on virtually all types of property
- Semi-Commercial Property
- Commercial Investment Property
- Residential Investment Property
- Apartment Blocks
- Land with or without Planning Permission
- Office Buildings
- Retail Premises
- Bed & Breakfast and Hotels
- Licensed Premises
- Residential Care Homes
- Nursing Homes
- Flats Above Fast-Food Premises
- Non-Standard Construction
Rates and Criteria
Summary of our rates and criteria for bridging finance on short term property lending:
- Loan size from £25,000 to £15 million
- Loan duration 1 Day – 24 months
- Interest payments can be monthly or retained
- Interest roll-up facility
- 1st, 2nd and 3rd Legal Charge
- No minimum income
- Bankruptcy, arrears, defaults, and CCJs
- Limited Companies, Sole Traders and private individuals
- Non-status considered
- Market leading rates from 0.49%
- Funds available within 7 days
We work quickly to provide you with a lending decision in principle and to prepare your application for submission to the selected bridging lender.
Please contact us by telephone or fill out our online bridging loan enquiry form.
Upon receipt of your enquiry, we will carry out an initial appraisal to establish your funding requirements in order to arrange the most suitable facility to meet your objectives.
Bridging Loan Uses
Bridging loans can be used to buy properties requiring renovation, or to raise capital on an existing property in order to fund the renovation work. Applications are fast and simple.
Selling a property often involves a chain of others buying and selling. If one sale breaks down, a bridging loan can be used to ensure the onward purchase can still take place until a new buyer is found.
It can be very difficult to arrange a mortgage on a piece of land, but bridging loans can be used to secure the purchase of the land or plot while allowing time for any planning permission, or change of use to be granted.
No kitchen, no bathroom, and a host of other problems make these properties impossible to mortgage, so a bridging loan is a way of funding the purchase until the property has been improved.
Bridging for HMOs and Multi-Unit Accommodation
We can assist clients in the purchase of mixed use and multi unit property where the accommodation needs remedial work or renovation before it can be tenanted to produce rental income. While conventional mortgages cannot lend on non-lettable property, we can provide dedicated HMO and Buy to Let refurbishment bridging finance.
We can also provide short term finance for purchase of former Public houses or Bed & Breakfast accommodation with the intention of converting into flats or multi room HMOs. Conversion work can also include structural changes and internal reconfiguration. Lending can also be given on buildings where planning consent has not been formally issued for its conversion or change or use.
Bridging Loan Exit Finance:
Remortgage BTL: Valuation: £540,000
Mortgage: £459,000 (85% LTV)
60-day Bridging Facility:
Purchase price: £395,000
1st Charge Bridging Loan : £276,500
(70%LTV) Bridging loan secured on main residence: Value: £895,000
2nd Charge Bridge (60 Day): £173,500
6 Month Heavy Refurbishment Bridging Facility
Purchase price: £189,000
1st Charge Bridging Loan : £132,300
(70%LTV) Monthly rate of 0.85 per month. After converting the property, the bridging loan was switched to a term mortgage product at 75% LTV.
6 Months Refinance
Renovated properties can be refinanced based on the increased property value within 6 months of the original date of purchase. This facility is ideal for property traders who need to reinvest their cash in new projects.
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