What can a bridging loan be used for?
A bridging loan can be used for a variety of reasons, the most common being where somebody has pulled out of a sale at the last minute and the vendor still needs to complete on his/her new purchase but needs short term finance quickly as the sale of their own property did not go ahead as planned.
There has been an increase for bridging finance where a property is purchased at auction & the sale is required to be completed within a strict 14 or 28 day period, bridging is the ideal solution here.
There are many other reasons where bridging finance is suitable, please refer to our website www.bridgingloans.com for further details. The main purpose of utilising bridging finance is for "Speed".
Are there any application/enquiry costs?
There are no initial enquiry costs; the commitment fee is 1% of the completed loan amount which is deducted on completion and payable to the introducer. Other typical fees include valuation & legal fees.
Can bridging loans help people with CCJs, arrears, and or adverse credit?
Yes, most definitely, some clients fall into an unfortunate position of accruing arrears, bridging finance caters for this category of borrowers. Some long term lenders may wish to see a clean credit history for a period of 3-6 months, in which case bridging finance can be ideal, once the satisfactory repayment history has been maintained, the longer term lender is able to re-consider their initial offering.
How soon can the customer have the money?
Typically monies can be released within 5-7 working days, this depends on how quickly all relevant information is supplied to us and how speedily the clients legal’s act. It is very important the client selects a legal firm which is familiar with bridging finance, as any delays tend to be associated with the client legal’s.