4.8 Out of 5
Residential Bridging Finance
- Short-term property finance for purchases, refurbishments and chain breaks — arranged fast, structured around your exit.
Common Questions
What is Bridging Finance?
A residential bridging loan is designed for purchases, refurbishments, or refinances of residential properties. It is a short-term funding solution secured against either residential or commercial assets. This funding option is typically used when a property transaction chain has broken. Whether the finance is required for buying at auction, funding structural works and ground-up developments or simply refinancing for cash-flow purposes, our tailored approach will help to ensure clients receive the best market rates. From the straightforward to the more complex, our consultants treat each case separately and tailor a solution to suit our clients.
A regulated bridging loan is often used to finance residential purchases and is regulated if you currently live, plan to live or have ever lived in any of the properties you are offering as security. On the other hand, an unregulated bridging loan is used when none of the securities being used for the loan is your home or a home you plan to or have lived in. Examples could be a buy-to-let or commercial property, or land for development.
In most cases, it is necessary to have an exit plan in place to ensure the repayment of the finance in a secure manner. There are several avenues for concluding a bridging loan, including the sale of the primary or investment property or opting for a longer-term mortgage through refinancing. Additionally, you could consider liquidating other investments, such as stocks or secondary properties, or even utilising an inheritance to meet the repayment obligations.
Product Features Include:
- Borrow from £26,000
- Use for any legal purpose
- Up to 80% LTV
- Loans available throughout England, Wales and Scotland
- Terms of up to 24 months
- Whole of market
Case studies
Some of our projects
Land Bridge for 220 Apartments
£10,400,000
Airspace Development
£1,200,000
CBILS Refinance for 4 Detached Houses
£3,400,000
Enquiry to Completion in 4 weeks
£3,600,000
our team
team of experts
FAQs
Common Questions & Answers
What documents are needed for residential bridging finance?
The exact requirements will depend on your circumstances and the lender, but as a guide you should expect to provide:
- Proof of identity (passport or driving licence)
- Proof of address (utility bill or bank statement dated within three months)
- Details of the property being used as security
- Evidence of your exit strategy
- Proof of income such as recent payslips or, tax returns (if regulated).
- For investment purchases, lenders will also want to understand your experience and the financial position of the deal.
The good news is that bridging finance is designed to move quickly, and at Finspace we handle the lender requirements on your behalf so you are not left guessing what is needed. The faster you can provide the information, the faster we can move. You can get the process started through our myFinSpace portal or by getting in touch directly.
Can I get residential bridging finance on an unmortgageable property?
Yes — in fact, this is one of the most common reasons borrowers turn to bridging finance. Properties that high-street lenders will not touch, such as those with structural issues, non-standard construction, uninhabitable condition, or complex legal title, can often be financed through specialist bridging lenders on our panel.
Where a conventional mortgage is not available, a bridging loan can be used to acquire the property and fund the works needed to bring it to mortgageable standard. The exit strategy in these cases is typically a refinance onto a standard mortgage or buy-to-let product once the works are complete, or a sale of the improved property.
Lenders will focus on the property’s value, the credibility of your renovation plan and the realism of your exit. We present your case to the lenders best suited to this type of deal. If you are also carrying out significant structural works, it may be worth looking at our refurbishment bridging finance options alongside standard residential bridging.
Is residential bridging finance more expensive than a secured loan?
Generally yes — bridging finance carries higher interest rates than a long-term secured loan or mortgage, and it is important to go in with a clear understanding of the total cost. The higher cost reflects the speed of arrangement, the flexibility of the product, and the short-term nature of the facility. Bridging is not designed to be held long-term; it is a tool to unlock a transaction or opportunity that a conventional loan cannot serve in the timeframe required.
The key is making sure the cost of the finance is proportionate to what you stand to gain — whether that is securing a property below market value, completing a refurbishment that adds significant equity, or avoiding a broken chain. We will always present you with a clear picture of total costs before you commit to anything, including arrangement fees, interest and any exit fees that apply. There is no obligation at the quoting stage. Get in touch or use our myFinSpace portal to get an indicative quote.
What is the cheapest residential bridging loan available?
There is no single answer — the cheapest bridging loan is the one best matched to your circumstances, lender appetite, and exit strategy. The key factors that influence cost are the loan-to-value (LTV), the strength of your exit, the term, whether the loan is regulated or unregulated, and whether interest is retained, rolled or serviced monthly.
Rather than chasing a headline rate, the better question is which lender will offer the most competitive terms for your specific case. Because we work with a wide panel of lenders and understand their individual criteria, we are well placed to match your case to the lender most likely to offer favourable pricing. To get a clearer picture of what your loan might cost, you can request an indicative quote through our myFinSpace portal or speak to one of our consultants directly.
Can I use residential bridging finance to buy a new home before selling?
Yes — this is one of the most established uses of regulated residential bridging finance. If you have found a property you want to buy but your existing home has not yet sold, a bridging loan can provide the funds needed to complete the purchase without waiting for your sale to go through.
The bridging loan is secured against your existing property, your new purchase, or both — and is repaid once your current home sells. This avoids losing a property you want while being held up in a chain, and it removes the pressure of having to synchronise two transactions simultaneously.
Because this involves a property you live in or intend to live in, it falls under FCA regulation, which means additional consumer protections apply. Finspace is authorised and regulated by the FCA (registration number 815900) and will ensure the loan is structured appropriately for your situation. For context on how the wider application process works, see our guide to bridging loans.
