Short Term Property Finance often know as Bridging Finance can be used by clients for a variety of reason to facilitate property or business transactions that need to be funded in short time periods.
Examples of where bridging finance can be used are:
- Auction or competitive purchases - where clients do not have the time to secure traditional finance bridging can enable them to complete quickly where a property is highly sought after or the seller requires a quick completion.
- Rennovation/Redevelopment - Bridging finance has very short terms and far lower exit fees than long term debt therefore if a clients intention is to renovate a property and thus increase the value a bridging loan would enable them to do so and then refinance once added value has been achieved.
- Active Management of Commercial Property - Where a commercial property is untenanted or the tenancies are on short term agreements a bridging loan could allow a client to acquire the property, renegotiate the tenacious or find new tenants and then refinance.
- Business Cashflow - Bridging finance can also be used on a property asset already owned by a client to release funds to assist with short term cashflow requirement.
There are a wealth of Bridging and Short Term Finance companies on our panel with a wide range of different products that vary in terms of loan to value, security requirements and rates.