Bridging finance products offer a short term borrowing solution to customers who need to facilitate a deal on a fast turnaround. The term can range from 3 to 6 to 12 months, after which the customer could switch to a longer term loan or mortgage depending on whether the property on which the bridging loan is secured is a commercial or residential property respectively.
There are various types of bridging such as follows:
Standard bridging is ideal for customers looking to secure the purchase or refinance of a residential or investment property including:
- Chain break – whilst waiting for an additional property sale
- Raising funds for short term requirements
- Auction purchase
- Capital raising for any legal purpose
- Meeting tight transaction deadlines
Light refurbishment is used where short term finance is needed for items such as:
- Modernising properties
- Replacing kitchens and bathrooms
- Properties deemed uninhabitable/unlettable by long term lenders
Heavy refurbishment is where your customer may require short term finance for works that require building regulations or planning permission. This could help with:
- Conversion and reconfiguration of residential property commercial to residential
- Completing a development that is wind and water tight
- Extension, loft conversion and basement.
Could this apply to your plans and intentions? If so, then why not contact us now, or ask us to contact you.
