BRIDGING FINANCE FOR PROPERTY DEVELOPMENT
In the world of property development, projects often demand immediate access to funds to capitalise on time-sensitive opportunities.
Bridging finance solutions offers a flexible, short-term funding solution for developers to secure properties, finance renovations, or complete construction projects quickly.
The good news is, we specialise in bridging finance for property development, tailoring solutions that match the fast-paced demands of development while helping clients just like you avoid prolonged delays.
What Is Bridging Finance for Property Development?
Bridging finance for property development is designed to offer current or prospective developers short-term finance, this can assist in fulfilling immediate funding until long-term financing becomes available or the property is sold.
Unlike traditional financing, like mortgages for instance, which can be challenging to secure quickly, bridging finance is fast and flexible, allowing developers to act promptly on acquisitions for further investment.
This form of finance is particularly useful for bridging the gap between the purchase of a property and its next stage of development, or before refinancing with a longer-term loan. For example, a developer may use bridging finance to buy an undervalued property with the intention of renovating it and selling it for profit or refinancing once the property value has increased.
You may understand this as “flipping” a home, which is an extremely lucrative investment plan and a common income stream for many investors.
We at MS Lending Group understand the urgency that developers face and offer bridging finance solutions structured to suit a range of property types, including residential, commercial, and mixed-use developments.
How Bridging Finance for Developers Works
Bridging finance for developers is designed with flexibility in mind. Unlike traditional bank loans that typically require extensive credit checks and lengthy approval times, bridging finance is asset-based, meaning that the loan is typically secured against the value of the property being purchased or developed.
This approach enables faster approval, often allowing developers to access funds within days rather than weeks, or months.
The process begins by assessing the project’s needs and future plans, which includes evaluating the property’s current and potential future value, understanding the level of the development, i.e whether it is a complex or a home, and confirming the all important exit strategy—whether it’s selling the property or refinancing.
Bridging finance allows developers to leverage property assets, and we are pleased at MS Lending Group to work with property developers to tailor loan terms, repayment schedules, and interest rates to align with specific project timelines and budgets.
An Example of Bridging Finance for Property Development
So how do you know if bridging finance is for you?
Your project is likely eligible for bridging finance in an array of circumstances, one common one being the securing of bridging finance to purchase a property at auction.
The developer may then refurbish it within a few months and sell it at a profit. Bridging finance for developers is a solution that empowers them to move quickly, responding to market changes and maximising project potential profits without being limited by time constraints.
The Benefits of Bridging Finance for Property Purchase & Development
Bridging finance offers unique benefits for property developers, making it a powerful tool for both acquisition and project development. By providing rapid and accessible funding, bridging finance enables developers to move quickly on property purchases and not miss out on valuable investment opportunities.
This speed and flexibility can be especially crucial in competitive markets, like auction property, where hesitation could mean losing a prime property.
Another significant advantage of bridging finance is its adaptability for various property types and project stages. Whether a developer aims to buy, refurbish, or fully construct a property or complex, bridging finance can be customised to meet these instances.
Unlike traditional loans that may have limitations on property type or condition, bridging finance is often available for properties needing significant refurbishment or construction, allowing developers to increase the property’s value substantially before selling or refinancing.
For developers focusing on maximising returns, bridging finance solutions provided by us at MS Lending Group come with competitive terms and are structured to support profitable outcomes.
By securing fast access to capital, developers are well-positioned to complete high-value projects efficiently and capitalise on future opportunities.
How to Secure Bridging Finance for Property Development
Securing bridging finance for property development can be a straightforward process, especially when working with an experienced provider like us at MS Lending Group.
The first step is to assess the scope of the development project and establish the amount of financing required, as well as a clear exit strategy—this may be the sale of the developed property in question or the refinancing of such, with a long-term loan or mortgage.
If you’re a developer, you can apply for bridging finance with MS Lending Group, wherein the application process is designed to be smooth and efficient. Our team can assess the development plans you have in place, and determine the likelihood of your loan outcome.
Bridging loan eligibility is based on the value of the property and the viability of the project rather than on traditional income checks, making it accessible to a range of developers, including those who may find it challenging to secure conventional financing.
We at MS Lending Group are dedicated to providing guidance throughout the process, from the initial application to final approval, ensuring that developers can quickly access the capital needed to bring their property development projects to life.
How MS Lending Group Can Help
At MS Lending Group, we specialise in offering flexible and tailored bridging finance solutions that cater specifically to property developers.
Our extensive experience in the bridging finance sector allows us to understand the unique challenges developers face, from time-sensitive purchases to the need for capital throughout various stages of a project.
Providing flexible terms, and fast turnaround times, developers gain access to funding that’s not only reliable but is also backed by a team of experts who are committed to helping them succeed. Our approach prioritises transparency and efficiency, ensuring that clients feel supported every step of the way.
For developers aiming to maximise their investment potential, we provide the best bridging finance options, empowering them to achieve successful outcomes in their property projects.
Simply get in touch with us today to find out how we can help you on your way to success, pursue your property development goals and investment dreams with our help.
MAKE AN APPLICATION
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How Much Does Residential Bridging Finance Cost?Bridging finance rates depend on the loan to value, customers credit and the property type. To get started, contact our team and we'll get back to you within 24 hours with an agreement in principle.
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How Long Does a Residential Bridging Loan Take?We can complete in as little as 48 hours from enquiry to completion. Bridging loans are usually arranged within 24 hours and come with flexible repayment options so that repayments fit around your lifestyle and budget. The interest rate varies depending on many factors including how much money has been borrowed and how long the loan lasts for.
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Is an Exit Strategy Required on Application?An exit strategy is always required before committing to a bridging loan. It is important the lender knows how you plan to repay the finance whether this is through a sale or a longer term refinancing option.
NO MINIMUM LOAN SIZE
MAX LOAN £3 MILLION
12 MONTHS AS STANDARD
18 MONTHS ON REQUEST
2ND CHARGES AVAILABLE
NO VALUATION
ON LOANS UP TO £500,000 ON RESIDENTIAL COMMERCIAL AND SEMI-COMMERCIAL PURCHASES.
DESKTOP VALUATION
ON LOANS UP TO £2 MILLION.
SUBJECT TO INTERNAL REVIEW
RESPONSIVE, RELIABLE & FLEXIBLE
NO Minimum Bridge Term • 2% Arrangement Fee • Exit Fee - 1 Month Interest