specialist finance
Bridging Loans
fast, flexible finance tailored to your needs
Bridging Loans with Bright Money
Need short-term funding to secure an opportunity? Whether it’s purchasing property at auction, refurbishing a home, or covering a funding gap, brightMoney provides expert guidance to help you find the right bridging loan.
What are
Bridging Loans?
Bridging loans are short-term funding solutions designed to “bridge” the gap between the purchase of a property and securing long-term finance or selling an existing asset.
They’re ideal for:
- Property purchases with tight deadlines
- Renovation and refurbishment projects
- Auction purchases
- Unlocking equity for personal or business needs
your bridging finance partner
Why Choose Bright Money for Bridging Loans?
Expert Advice
Our team specializes in finding bespoke solutions for individuals and businesses.
Wide Range of Options
Access to multiple lenders offering competitive rates.
Quick Turnaround
Bridging loans can be arranged in as little as 5-7 days.
Transparent Process
Clear guidance from application to completion.
How Bridging Loans Work
Follow these four simple steps to secure bridging finance
1
Initial Consultation
Speak with our experienced advisers to discuss your needs and objectives.
2
Tailored Recommendations
We’ll compare bridging loan products to find the most suitable option for your situation.
3
Approval Process
Once approved, funds can be released quickly to meet your deadlines.
4
Repayment
Repay your bridging loan through refinancing, property sale, or other means.
Types of
Bridging Loans
Residential Bridging Loans
For buying, renovating, or selling residential property.
Auction Finance
Meet tight auction deadlines with pre-approved funds.
Commercial Bridging Loans
Perfect for businesses or developers looking to fund property investments.
Development Exit Finance
Unlock equity from completed developments before sale or refinance.
Why use a
Bridging Loan?
Bridging loans are ideal for situations where speed and flexibility are essential. With BMI Money, you’ll benefit from our expert support and access to a range of competitive products tailored to your needs.
Pros & Cons of Bridging Loans
Pro: Quick Access to Funds
Bridging loans are designed for short-term needs, meaning funds can be released in as little as 5-7 days, allowing you to act quickly on time-sensitive opportunities like property purchases or auctions.
Pro: Flexible Terms
Bridging loans are highly flexible, with the ability to secure funding for both residential and commercial properties. Terms are tailored to meet the specific needs of each borrower.
Pro: Helps Bridge Financial Gaps
A bridging loan can provide the necessary funds to cover a gap in finances when purchasing a new property before selling your existing one.
Pro: Versatile Use
Bridging finance can be used for a wide variety of purposes, including buying property at auctions, funding renovations, securing investment opportunities, and unlocking capital for business ventures.
Short-Term Commitment
Bridging loans typically have a short repayment period (usually 12-24 months), making them ideal for temporary funding needs.
Con: Higher Interest Rates
Bridging loans generally have higher interest rates compared to traditional mortgages or loans due to their short-term nature and flexibility. This can increase the overall cost of borrowing.
Fees and Costs
Bridging loans often come with higher arrangement fees, legal fees, and valuation fees, which can add to the upfront costs.
Short Repayment Period
The short-term nature of bridging loans can be both an advantage and a disadvantage. If the borrower cannot repay or refinance the loan within the set period, they may face additional costs and penalties.
Not Ideal for Long-Term Financing
Bridging loans are designed to meet short-term needs and are not a suitable solution for long-term financing. If used incorrectly or for longer periods, the cost of the loan can become unsustainable.
Limited Availability
While bridging loans are a popular solution for certain property and investment purposes, they may not be available to everyone, and not all lenders offer these types of loans.
Is a Bridging Loan
Right for You?
Bridging loans offer a flexible, fast solution when you need short-term funding, but they come with a higher cost. Weighing the pros and cons carefully and consulting with a financial advisor will help determine if this is the best option for your financial situation.
FAQ
about
Bridging
Loans
What is the typical interest rate for bridging loans?
Interest rates usually start from 0.5% per month, depending on the loan type and provider.
How long does it take to arrange a bridging loan?
Most bridging loans are approved within 5-7 days, though this may vary depending on the complexity of the case.
How much can I borrow with a bridging loan?
Loan amounts range from £25,000 to several million pounds, depending on the value of the secured asset.
What security is required?
Bridging loans are secured against property, which can be residential, commercial, or land.
What is the typical term for a bridging loan?
Bridging loans are designed for short-term use, typically between 12-24 months.
Can I repay early?
Yes, many bridging loans allow for early repayment without penalties, but it’s essential to confirm terms with your adviser.
speak with Bright Money
Get Started Today
Ready to bridge the gap? Contact us to explore your options:
Call Us: 01844 390910
Email Us: info@bmimoney.co.uk
