A bridging loan is finance secured against a property. This is provided by a lender as a short term solution for debt until a more appropriate longer term loan package can be sourced.

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This type of finance is often taken out for a period of time between two weeks and three years. As a bridging loan is a form of interim financing it is typically more expensive than normal financing with higher fees from the lender. The benefit of bridging loans is that they can be arranged quickly with rather less hassle than other means of finance.

This form of lending can be invaluable in facilitating property purchased which may otherwise fall through due to a gap in lending and as the name suggests can help ‘bridge’ that gap at a premium.


Bridging loans are a niche part of the market designed to help complete purchases before the selling of an existing property. In many cases the existing property will have a mortgage on it which can be ported to the new property and used to repay the bridging loan. This type of financing is also useful when purchasing properties at auction when funds need to be in place within 28 days of offer.

Bridging loans have become popular due to the recent economic downturn as banks were reluctant to lend, so Bridging companies have sprung up rapidly.

As a result of being a niche market, there is not a huge panel of lenders to choose from unlike mainstream lending and while a bridging loan may appear to be a simpler alternative to high street lending it is not as clear cut. If a clear exit strategy is not thought of it may well end in your home or investment property being repossessed.

Here at Brilliant Money we have an entire team dedicated to bridging finance and ensuring all your needs and questions are met and answered.