Bridging Finance

Bridging Finance (First and Second Charge) is a type of short-term finance secured against property to “bridge” the gap between the need for immediate capital and the availability of more permanent finance.

Independent Mortgages Direct NE has the expertise to find a solution that meets your current needs and circumstances by using a range of innovative and exclusive products from our panel of lenders for the following purposes.

1. Property Transactions: One of the most common uses of bridging finance is in property. Suppose you want to purchase a new property but have yet to sell your existing one. In that case, you might need “Chain Break” bridging finance to cover the total purchase price of the new property until your old property has sold.
2. Property Development: Property developers use bridging finance to secure a property and start development while waiting for long-term financing to be approved, allowing you to begin the project quickly and take advantage of time-sensitive opportunities.
3. Auction Purchases: When purchasing properties at auction, you must provide payment quickly. Bridging finance can provide the necessary funds to secure the property. Then you can arrange traditional financing or sell other assets to repay the bridge loan.
4. Cash Flow Issues: Businesses facing temporary cash flow problems might use bridging finance to cover operational costs until they receive payments from clients or customers.
5. Refinancing or Renovation: If you plan to refinance a property or undertake substantial renovations that increase the property’s value, you might use bridging finance to access the necessary funds quickly.
6. Legal Settlements: In legal cases where you’re awaiting a settlement payment but need funds immediately, bridging finance can provide the necessary liquidity.

Typical rates and Loan Value (LTV) limits are detailed below – please call 0800 035 0095 or click “Get A Quote” for further details.