Bridging Finance
Looking to bridge the gap between buying a property and the sale of another? A bridging loan does just that.
With a typical 12-month term and no early repayment charges (except for the first three months' interest), this flexible option allows for easy repayment.
Lenders often "roll up" interest payments, adding them to the loan balance to be repaid in full at the end of the term. While this saves on monthly expenses, it may impact the maximum loan amount available (usually 70-75% of property value).
When applying for a bridging loan, lenders focus on property value and repayment plans. As long as there's a clear exit strategy – like selling a property or obtaining a standard mortgage – approval is likely.
Whether you're looking to buy before selling or renovating a property for future mortgage approval, bridging loans offer a versatile financing solution.