Fast Bridging Loans

A bridging loan is a short-term loan secured by property and designed to move a project from A to B or satisfy a funding requirement.

More Info Below

What is a bridging loan?

A bridging loan is a short-term loan secured on property, designed to move a project or satisfy a funding requirement within a period of 12 months. Bridging loans can be arranged within days and used by individuals or businesses for any purpose until their next stage of financing becomes available - usually from a property resale or refinance onto long term funding.

Whether you are looking to purchase a property, build a property or refurbish a property, bridging loans can be used in residential and commercial property transactions by home buyers, developers, landlords, and investors. Bridging finance can also be used by businesses and individuals in need of fast funding.

 

Who can use bridging loans?

Property developers and investors:

  • Refurbishing unmortgageable or uninhabitable properties
  • Property conversion or renovation
  • Quickly securing a property
  • Auction purchases

Businesses:

  • raising capital
  • meeting a business obligation
  • settling tax liabilities
  • purchasing stock
  • short term cash flow
  • managing probate
  • HMO finance

Homeowners and property owners:

  • Quickly securing a property
  • Break free of a property chain
  • Building a home
  • Downsizing
  • Property conversion
  • Auction finance
  • Cash flow

 

How much do bridging loans cost?

One of the key differences between a bridging loan and a regular loan is the time it takes to organise funding. With terms from 1 day to 24 months, we can offer full flexibility to meet your requirements.

Bridging loans are typically more expensive as lenders carry out the same amount of work for up to a 12-month return rather than up to 25 years. BFS price each case on its own merits and do not hide fees in the small print or provide short term ‘teaser’ rates.

Interest rates can be determined by loan to value, security type, the profile of borrower, size of loan etc. The headline interest rate is not the only factor to consider when comparing loan offers – it is the total cost of funds including fees.

See: Questions to ask a bridging loan provider

Once you have applied for a bridging loan, the BFS team are experienced enough to immediately provide you with a written quotation.

 

Step by step guide to securing a bridging loan

A bridging loan shares similar underwriting and legal processes as a mortgage with a charge secured on the property but typically completes in 10 days dependent upon the legal process.

1. Broker or individual submits an application for bridging finance, stating reasons for the loan and offering a clear repayment strategy. You will need to provide proof of the new property purchase and its price.

2. BFS will issue a decision in principle on the same day which outlines the terms of the finance and what you need to provide in order to obtain the required funds.

3. BFS will then instruct a valuation report. The amount you can be lent is determined by the value of the property.

4. All documents sent to your solicitor for review

5. Client to sign all documentation - once they understand the terms and conditions

6. Agreed funds are released to your solicitor who signs off on all legal aspects of the loan

7. Solicitor makes funds available to you.

 

How else can you use a bridging loan?

To purchase a property quickly >

For property development >

To release capital >

To manage probate issues >

To pay a tax bill >

 

Why BFS?

We are a principal lender which means that we work with our own money and do not need to consult any third parties before completing a transaction. This is why we can make you an offer within hours – and draw funds in days, not weeks. BFS is also regulated by the Financial Conduct Authority (FCA) which demonstrates our reputation as a responsible lender.

  • No upfront fees
  • No product fees
  • No exit fees
  • No expiry fees
  • No redemption fees
  • No hidden costs

 

Make it happen

Please contact us and speak to one of our experienced and friendly team to discuss your specific circumstances.

Lending Criteria

Interest rate

From 0.75% pcm

Minimum loan

£25,000

Maximum loan

£2,000,000

Maximum loan to value

70% OMV

Loan term

1 day to 24 months

Upfront fee

None

Product fee

None

Exit fee

None

Expiry fee

None

Redemption fee

None

Hidden costs

None

We are a principal lender which means that we work with our own money and do not need to consult any third parties before completing a transaction.

We have years’ of experience and a proven track record in funding schemes from £25k to £2m. This is why we can make you an offer within hours – and draw funds in days, not weeks.

BFS is regulated by the Financial Conduct Authority (FCA) which demonstrates our reputation as a responsible lender.


self build property finance

Apply for a Bridging Loan Online

Bridging finance isn't just used for purchasing property, it can be used for:

  • raising capital
  • meeting a business obligation
  • settling tax liabilities
  • purchasing stock
  • short term cash flow
  • managing probate
  • HMO finance

Got questions? speak to our team

call us on
0151 639 7554
or start online
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