Refinance Bridging Loans

Refinance your bridging loan quickly with ABC Finance to get the best deal

Rated Excellent on Reviews.co.uk

If your bridging loan is reaching the end of its term, or you need to release equity to move forward, a refinance bridging loan could be the solution.

We’ve been working with borrowers who are looking to rebridge an existing loan since we were formed in 2000.

In this guide, we break down how it works, how much it costs and how much you could borrow.

Read on to find out more or get in touch for a free quote.

How does a refinance bridging loan work?

A refinance bridging loan works by giving you a new bridge to repay your existing one.

By refinancing your loan, you reset your term, give yourself breathing space and may even be able to release equity where required.

What can I use bridging loan refinancing for?

Bridging loan refinancing can be used to repay any existing bridge.

Common reasons for bridging loan refinancing are:

Repaying an existing loan.
To give more time for essential property work to be completed.
To give yourself more time to sell the security property.

If you’re looking to refinance another type of finance, such as a mortgage or loan, you will be eligible for standard bridging loans.

Equally, loans to repay development finance will be eligible for development exit finance, rather than a refinance bridging loan.

We can refinance almost any type of bridging including unregulated bridging loans and a bridging loan for a house purchase.

Key product features

Key Features

Max LTV

Up to 75%

Interest rate

From 0.45% per month

Charge types

1st, 2nd & 3rd considered

Term

1-36 months (maximum 12 months for regulated bridge loans)

Interest type

Added to the loan, deducted or serviced

Completion timescale

5 days – 3 weeks

Criteria

Residential, commercial property or land acceptable

Available to individuals, partnerships, LLPs, Ltd companies, offshore companies, foreign nationals and pension funds

Minimum applicant age 18 years – no maximum age

Available in England, Scotland, Wales and Northern Ireland

Adverse credit accepted (on a case by case basis)

We assess all bridge loans on an individual basis

Will I pay more for a re-bridging loan?

No, the bridging loan rates you pay won’t necessarily be higher, as long as you have a solid exit strategy and suitable security property.

Whether your loan was residential bridging, commercial bridging, a bridge to finance development or even auction finance, it’s still possible to get a good interest rate on a rebridging loan.

How long does it take to arrange a refinance bridge?

Re-bridging loans can be arranged very quickly, usually in 5 days – 3 weeks. If you have a strong exit strategy and property, you have a good chance to complete quickly.

When looking to finance development or refurbishment, the lender will need to look further into the works required, meaning your application may take a little longer to complete.

What are the benefits of this type of loan?

The benefits of refinancing bridging finance are:

They may allow you to raise additional funds
They allow you to repay an existing loan that is coming up to the end of its term
You can get the funds that you need quickly
They remove the risk of your current lender taking action to redeem their funds
As they are another bridging loan, they are ideal if you’ll be undertaking refurbishment work on the property

Does my exit strategy affect my loan application?

Yes, your exit strategy is particularly important for bridging loans that are being used to refinance an existing loan. That is because the lender will focus on ensuring that you don’t end up back in the same position at the end of the term.

The new lender will want to ensure that your exit strategy is very strong and will usually prefer you to exit the bridge loan through sale of your property or refinance to a mortgage (either residential or buy to let, depending on the situation).

Will I qualify for re-bridging finance?

Yes, as long as you have a strong property, reliable way of repaying the loan and sufficient equity, you have a great chance of qualifying for a re-bridging loan.

For confirmation of whether your current circumstances would be acceptable, contact us and our team of bridging loan experts will get you an agreement in principle within hours.

What information will I have to supply when I apply for these bridge loans?

When applying for a refinancing bridge, you must provide the following:

Your personal and financial details
Details of the security property
Details of your method of repaying the loan
Proof of income, if you will be paying the interest monthly

Can I repay this type of loan early?

Yes, if your exit strategy comes to fruition early, you can repay the loan early with no early repayment charges or penalties of any kind with almost all lenders. Whether you’ll be refinancing or selling the security property, early repayment is usually encouraged.

Do you charge a fee for rebridging loan applications?

No, at ABC Finance, we don’t charge a broker fee for bridging loans that will be used to refinance and existing bridging loan.

We pride ourselves on saving people money on their borrowing needs and as such, avoid charging fees unless absolutely necessary.

Frequently Asked Questions

What loan term can I take?

Rebridging loans can be taken over a term of 1 month to 18 months. In most cases, the interest can be added to the loan, leaving you with no monthly payments to make.

Can they be taken out against any property?

Yes, as long as your property meets the lenders criteria, we can lend against it.

We can offer loans in England, Scotland, Wales and Northern Ireland.

Can I not just buy myself time with my existing lender?

You may be able to, but when it comes to bridging loans, lenders tend to be very focussed on getting their money back quickly at the end of the term.

As such, there is often not a great deal of room for delays, so unless your lender has specifically said that they will give you additional time, you should prepare to look elsewhere.