FAQs – Bridging
Frequently Asked Questions – Bridging loans
We are always asked similar questions from our customers and thought that it may be best to try and provide answers to these to make bridging loans as simple to understand as possible:
Who can take out a bridging loan?
Bridging loans are available to almost anyone. This ranges from individuals, LLP’s, Limited Companies, SIPP’s, Offshore companies, Foreign nationals and overseas individuals, Trusts, Charities and also power of attorney.
How long can I have the loan for?
Bridging loans are typically available between 1-24 months. Some lenders can offer up to 36 months but we would not recommend this as the cheapest finance option available over this length of term. Obviously circumstances will dictate the best advice here.
How expensive is a bridging loan?
Bridging loans range from 0.45% per month to 2% per month. Individual circumstances will dictate the rate available to you.
Are there lots of fees?
Not necessarily, some of our lenders do not charge fees to set up a bridging loan and also do not have any exit fees. However their rates of interest on a monthly basis will not be the best available. We look at each case individually and will let you know the cheapest overall option available.
Do you have access to all the lenders in the market?
We have access to over 70+ lenders in the bridging market. This equates to over 220+ products.
I can’t prove my income can you help?
Income proof or affordability is not an issue for most bridging lenders. Most of our bridging lenders will use rolled-up or retained interest which means that you do not need to make a monthly payment whilst the loan is outstanding.
Am I too old for a bridging loan?
We do not have an upper age limit, some of our lenders regularly lend to clients over the age of 90.
I have adverse credit can you still get me a bridging loan?
Yes, we have lenders that will consider all credit issues. This means that we can get you a bridging loan even with missed mortgage payments.