Bridging Finance
A bridging Finance loan typically takes less time to arrange and can be invaluable in helping with Auction Finance and other situations that require Quick, Short-Term funding with flexible income & property requirements.
- Home Cubic Financial
If you are considering bridging finance be sure to take a look at some the factors that make this type a loan suitable in different situations. We included below some examples of common situations where a Bridging Loan might be the right option for you.
Speed
Faster processing times enable you to satisfy strict purchase deadlines for example auction purchases.
Flexibility
Bridging loans often have a more flexible property criteria, thus covering properties unsuitable for conventional mortgages.
Short-Term
Buy time to overcome the immediate hurdles and conduct the actions required to provide refinance or sell the property.
No Income Proof
Easier to qualify as many lenders concentrate on the value of the property than on your income.
Poor Credit
Bridging loans can be available to individuals who have had credit problems in the past but require short term finance.
step 1
Source
1
Bridging finance loans typically have a higher interest rate and not all bridging lenders will be right for you, we can help to find the cheapest loan that will be suitable for your requirements.
step 2
Exit Strategy
2
Bridging finance loans should be considered as temporary loans, therefore we can discuss the possible exit strategies to ensure that bridging loan is repaid at the end of the term.
step 3
Purchase
3
The bridging finance loan will allow you to make the purchase and use the time to conduct all the tasks during the loan term which is often up to 12 months (but can be longer or shorter)
step 4
Exit
4
At the end of the bridging finance loan term if the goal is to remortgage to a mainstream lender we can assist. If the goal is to sell then you will need to to so before the term expires to avoid penalties.
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Bridging Finance
Some Important Points
A bridging loan typically takes less time to arrange, however, it is not always the most cost-effective solution. We will use our knowledge and expertise to ensure that all avenues have been explored before recommending a bridging loan. If it is the correct solution based on your circumstance and there is a clear exit strategy in place, then we will be happy to advise & recommend a suitable bridging product that will assist you in meeting your goal.