It’s essential to have your finances in place before purchasing a property at auction to ensure you can complete within the short timescale. Not only does having the funds readily available provide you with confidence when bidding but it also prevents the risk of you losing your deposit and incurring huge fees if you fail to complete on the purchase.
Bridging finance is an ideal way to finance your auction purchase. It’s quick to secure, convenient, gives you fast access to funds and provides you with flexibility when purchasing at auction.
Why use bridging finance?
You more than likely need a mortgage to fund your purchase but this can take a while to finalise. Auction purchases, on the other hand, usually require completion within 28 days. Even when you’ve done everything to ensure a quick mortgage process, including securing a mortgage offer and having a valuation carried out in advance, there’s always the risk of unexpected delays. With bridging finance, you have the funds ready to use when you enter the auction house. This short-term loan lets you secure your purchase and bridge the gap while your longer-term finance is finalised.
When you haven’t found your preferred longer-term finance before attending the auction, bridging finance gives you a bit more breathing space to look for this. A bridging loan also enables you to purchase a property that needs renovation works to be carried out before you can secure a mortgage. Once the property meets the required standards, you can then switch from your bridging loan to your longer-term finance.
Fast access to funds
Unlike a traditional mortgage, bridging finance is quick to process. Our bridging finance brokers have developed excellent relationships with lenders and know which ones offer bridging loans for auction purchases. These lenders are used to handling fast loan applications to suit the short auction timescales. Our expert brokers can quickly sift through the lenders’ competitive rates and terms to find the best bridging finance to suit your needs.
Having created a tailored application for you, you can expect to secure your bridging finance deal within hours. Not only is the application process fast but you can look forward to receiving the funds within a few days.
Convenient, competitive and flexible
As specialists in this field with extensive auction finance experience, we provide a quick turnaround while sourcing competitive rates and flexible products that are tailored to your specific needs.
As the rates reflect the flexibility and convenience of having a bridging loan in place, our auction finance brokers work closely with you to secure the optimum deal. This includes your loan amount, the rates and the flexibility of the terms. This ensures you don’t pay more than you need to or take out a loan for longer than is necessary.
When you’re ready to make an auction purchase, we’re here to secure your bridging finance quickly and easily for a stress-free transaction. As well as arranging your short-term finance, we can also help with your exit finance to ensure your auction purchase runs smoothly from start to finish.