As the bridging finance market continues to grow and the market evolves, more and more clients are looking at bridging as a viable product to secure a better deal than they otherwise would be able to achieve. Whether it’s a bridging loan to facilitate a purchase before your own property has sold, securing a lower purchase price in return for a fast completion, or securing an otherwise unmortgagable property while it is refurbished, people are turning to bridging finance in their thousands.
With increased demand, there will always be an increase in supply and the bridging finance market has been no exception. We are now seeing more and more lenders joining the market, rates and fees reducing and service levels being ever improved.
As UK finance experts We have seen well established lenders reducing their rates as people compete to win new market share, private finance providers are pushing to increase returns on their savings whilst not committing to long term lending and new lenders are always looking to earn their place in the market. Overall, this is a market that is becoming ever more appealing to clients and will continue to do so.
For years, professional property investors have been utilising the bridging loan market to quickly turn around properties, securing better deals through their ability to move quickly, utilising the funds to increase value through property refurbishment and looking at the overall benefits available, not to mention the opportunities they would have missed had they closed their mind to the market.
The key factor when looking at taking a bridging loan has always been the ability to exit the loan and knowing the route that will be taken to the highest degree of certainty possible before entering the bridge. Whenever we make a recommendation to a client, we always consider both the short and long term merits of such a move.
Of course in the course of a short blog, we aim only to give you an overview how the market is growing and some of the generic benefits of this product. If you would like to discuss how bridging finance could work for you, contact one of our commercial finance experts and we will be happy to help.