Bridging Finance

Bridging finance is a short-term loan secured against your property. It is typically used for speed and flexibility and can be used to purchase a property or release equity quickly. Bridging enables you to take advantage of time sensitive opportunities.

It is a form of ‘Short Term Finance’ secured on your property until you either sell the property or longer term, alternative, finance is obtained e.g. a Buy-to-Let mortgage.

The bridging interest is normally calculated on a monthly or daily basis and will typically be ‘rolled up’ into the loan or deducted from the loan in advance meaning there is no monthly payment. Some lenders will allow you to service the interest on a monthly basis, subject to affordability checks.


Bridging finance can be used for:
  • Chain break scenarios – bridging can be used to fix a broken chain, where your buyer has pulled out and you need to complete on your onward purchase before your current property sells. This ensures you do not lose your onward purchase.

  • Refurbishment – we are able to raise funds to enable you to complete cosmetic or structural works to your property.

  • Uninhabitable properties – occasionally properties will come up for sale which require significant refurbishment works to make them ‘habitable’ or ‘mortgageable’. Sometimes these properties are heavily discounted. Bridging finance can allow you to purchase the property, complete the required works, and then either sell or obtain longer term finance.

  • 2nd charge bridging – If you already have a mortgage on your property, we are still able to secure a bridging loan as a second charge, for a variety of purposes including refurbishment, purchasing an investment property, business investment or cash flow purposes.

  • Buying at auction – typically you only have 28 days to complete on your purchase which is too short for high street lenders to complete underwriting, bridging finance can be utilized for speed to ensure you complete by the deadline.

  • Raising funds for business purposes – We are able to raise capital to inject into your business, as a short-term solution.

  • Below market value transactions – if you are able to purchase a property at a discount we have access to lenders who can lend against the value of the property rather than the purchase price. The majority of high street lenders are only prepared to lend against the purchase price, which is where bridging can be used. We can raise up to 90% of the purchase price (subject to 70% of the open market value, as confirmed by the surveyor). 100% of purchase price is also available with additional security.