As the popularity of Bridging Finance continues to grow, I thought it was time to share Pinpoint Finance’s, own five big things you need to know about Bridging Finance.
With the increasing variety of bridging lenders in the market and the differences between their products means that’s it’s important to understand the following when considering if Bridging Finance is the right solution for you.
- Bridging Finance is versatile and it’s not just for property. Historically, Bridging Finance was used to repair a broken property chain or purchase land or property quickly. Now Bridging Finance can be used for a variety of purposes.
- Bridging Finance is flexible. The loan interest can be serviced in a variety of ways. Interest can be retained, rolled or paid monthly depending on your situation.
- Bridging Finance doesn’t have to be short term. The term of the loan does not have to be restrictive, there is a misconception that Bridging Finance can only be for 12 months or less. This is not always the case with some lenders offering terms for 24 months or beyond.
- Bridging Finance can finance 100% of the transaction. Some lenders will cross charge more than one property, allowing 100% of the transaction to be raised across a number of properties.
- Bridging Finance needs to be repaid! It’s important that you know your exit route for the loan. Your exit strategy could be re-financing, sale the security or funds from another source. It’s important that this is clear from the outset and lenders may accept a combination of the above in some circumstances.
At Pinpoint Finance, we use a variety of lenders that can offer Bridging Finance for many different types of funding situations. Whether you are a solicitor trying to repair a broken property chain for a client or a landlord wanting to capitalise on a property deal quickly. Call Pinpoint Finance today on 01904 866100 to find out how Bridging Finance can help you. Pinpoint Finance can deliver Bridging Finance in tight timescales, which can make a good deal even better.
