Fast Bridging FinanceRapid bridging financing
A client would need this kind of financing quickly for several reasons: It is possible that the owner is currently alone and would like to move in with a spouse to buy the home in which he is currently alone - but before the sale of the home the owner will decide to carry out some renovation to raise his value, which would allow a quick bridging credit procedure.
Possibly a builder is looking for an auctions bridge. In addition to being used for real estate deals, quick bridging credits can be taken out as short-term credits for a wide range of different lending objectives. That includes: In order to delay an imminent redemption, eliminate backlogs and give you enough free selling space without being compelled to put up for sale by your creditor.
Creditors are more interested in how you reimburse the entire amount than in performing the controls you might be expecting with a conventional hypothec. Usually they allow you to append the repayment to the credit, but it is an costly way of taking out a credit and you must have a certain means to reimburse the bridging credit (including any interest you have added to the credit) - often the selling of the real estate.
Interest and interim financing charges are almost always higher than for conventional loans, in part because the creditor' s perception of credit risks is higher, in part because the creditor has only a brief timeframe to make a profit on the transaction - often a period of up to 12 month.