If you need finance quickly and are unable to arrange long-term mortgage finance immediately or need to repair your credit rating before applying for long term finance then a short term or bridging loan may be the answer. Bridging finance is a short term loan secured against residential or commercial property and can be used for either purchase or refinance. The loan is repaid once the property is sold or refinanced with a long term lender.
A bridging loan can be used to acquire property requiring refurbishment prior to letting at which point a longer term facility is put in place to refinance it and if required raise capital against any enhanced value. We can arrange a package of facilities in these circumstances, often with the same lender saving costs.
The loan term can be between 1 and 36 months dependent upon the circumstances.
The underwriting of bridging loans can be less rigorous than that for any longer term finance, although the personal covenant of the prospective borrower and the value of the security are still important. Some bridging lenders can consider applications where there have been past credit file issues. Key in bridging finance assessment is certainty of capital repayment and this must be adequately demonstrated through the viability of sale or refinance.
We are not able to arrange bridging loans secured upon owner occupied residential property.
We would be delighted to assist you with your requirements. For a no obligation chat and indication of what we may be able to achieve.
Please call us on 0330 058 3981 or email us firstname.lastname@example.org