Bridging loans from Cornish Business Loans can be made to any individual or company and are usually secured against property. This type is loan has a defining characteristic; it is a loan that essentially bridges an exit gap, which is usually a refinance or sale of an asset. Bridging loans can often be arranged within a matter of hours, much quicker than traditional bank lending, with the release of funds sometimes within 72 hours. Loan amounts generally start at around £25,001 with no maximum.
The main reasons that property professionals use bridging loans are:
- To quickly raise finance
- To refurbish a property
- Complete purchases at auction
- To purchase property that would not secure a mortgage
- To bridge a shortfall of funding between buying and selling property
- To raise a deposit for purchasing property