A bridge loan is a form of financing that “bridges” the gap between funds needed now and when longer-term financing becomes available. It can be a key component in an owner’s long-term financing strategy, particularly for those faced with a here-and-now opportunity or other shorter-term situation such as improving or selling a property.
Property developers are often used a bridge loan to purchase a second property before the sale of the first property closes. Then the proceeds from the sale are used to pay off the bridge loan. It clearly explains the importance of the current property, before a borrower goes for bridge loans.
Bridge financing almost always needs to be arranged and closed quickly. The loan duration normally would range from 6 to 12 months. The rate of interest on this finance will be high when compared to traditional loans just because of its short-term nature.
Because of the owner’s need for timeliness, banks and other institutional lenders are not usually effective when it comes to bridging loans. That’s why the Bridge Direct in the UK region offers access to investors capable of making on-the-spot decisions. Included among them are hedge funds, private equity groups, mortgage pools and other sources of private capital.
Bridge Direct offers:
• Friendly, professional service
• Competitive pricing
• Expertise locating loans for clients with any credit rating
• 30 years of lending experience
• Flexible loan payment plans
If you are searching for a bridge loan service in the UK region, then choose the Bridge Direct for top quality financial service.
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