Capital Finance Group
Bridging Finance
Bridging finance is a short-term loan secured against property, used to bridge a gap until longer-term funding or a sale is in place. It is a flexible tool for time-sensitive purchases and situations that do not suit a standard mortgage.
Speak to a Property Finance SpecialistBridging Finance
Because bridging is usually used where timing matters, a well-prepared application makes a real difference. We help you present the property, the purpose of the loan and your exit plan clearly, so lenders can assess the case with confidence.
Who it suits
- Buying at auction, where completion deadlines are tight
- Purchasing before an existing property has sold
- Buying unmortgageable property that needs work
- Raising short-term capital for business or investment purposes
- Preventing a chain from collapsing
How it works
- Loans are usually arranged for a short term, commonly up to 12 to 24 months
- Lenders focus on the property value and a clear exit strategy, such as a sale or refinance
- Loan-to-value levels are typically up to around 70% to 75%, sometimes higher with additional security
- Interest is often retained or rolled up, though monthly payments may be possible
- Both first and second charge options may be available
Things to consider
- Bridging is generally more expensive than long-term finance and should be used for a defined purpose
- A credible, evidenced exit route is essential
- Costs can include arrangement, valuation, legal and exit fees
- Bridging secured on a home you or your family live in is regulated and needs specialist advice
- The property is used as security and may be repossessed if the loan is not repaid
Need to move quickly on a property? Speak to an expert about short-term bridging options.
Finance is subject to status and lender criteria.
Discuss bridging finance
Need to move quickly on a property? Speak to an expert about short-term bridging options.
Speak to a Property Finance Specialist