How to repay a Bridging loan

A Bridging loan is short term finance solution that requires an exit typically after 12 months.

Most people enter a bridging loan with a planned exit, whether it’s the sale of the property or a re-mortgage. 

However, things can change, people whose planned exit was a sale may change their mind and decide to keep the property or the planned re-mortgage to pay the bridging loan may no longer be available.

There are several ways to redeem the bridge:

• Selling the property.
• Re-mortgage
• Secured loan
• Re-bridge
• Refinance another property

Its definitely within your interest to redeem a bridging loan before the term is up as often most lender will apply a default rate to the loan that if often a lot higher than the current rate, you’re on.

If you over your term or getting close and would like to chat to explore what options are available to you then please get in touch.