Bridging Loans Explained
These loans are a temporary short-term funding option which allows your business to receive funding before a permanent solution is found. Short term caveat loans or interim financing are also other terms for Bridging Loans.
It is often difficult to precisely match up the dates between the sale of an old asset and the purchase of a new one. This takes care of this problem right away, and they are perfect because they are both fast, and only for a short term
Our Bridging Loans are also be used for property purchases too. Although they can only be used for purchases of commercial property, or residential property being bought in a company name. However if this is the case, WE CAN HELP!
These loans provide you access to cash during this period to fund the purchase before your old asset is sold. Once the old asset has been disposed of, the capital raised from the sale can be used to pay off the bridging loan.
Buy Today and Sell Later with bridging loans
Bridging funding offers the borrower a financing solution for a short time that can assist with an business cash flow problems. This type of funding is also ideal for those looking for opportunities to buy a property or an asset before selling the old one. Our team always goes beyond to lend a helping hand to all our clients. With an approachable lending team, our financial solutions are customized to every borrower’s requirement and needs.
Why Get a Bridging Loan?
Getting a Loan from traditional banks and other conventional lending institutions is hard work. This is mainly due to the fact that most of them may not even offer bridging finance to start with. Secondly, they have very restricted lending criteria and stringent requirements to get any kind of loan, especially a bridging loan.
Buying or selling Real Estate? These can be used when selling or buying a real estate. Maybe your current property hasn’t sold yet? Maybe your property has sold and doesn’t settle for another 3 months, but you need the money NOW!
We can also use our Bridging Loan options for other commercial transactions where you need funds in a hurry, and just for a short term.
Business owners selling an asset – the settlement period could be up to 6 months, but you need the funds now. A Bridging Loan is the answer.
For people buying an asset – your lender may have backed out at the last minute. That’s where one of our Bridging Loans can come to the rescue.
If you need from $20,000 to $5,000,000 by the next business day, our Bridging Loans are the answer.
Where can I get Bridging Loans in Australia?
What is the Application Process for Bridging Loans?
We make sure bridging loans are kept simple and require minimal paperwork, as we know your time is important. Our application form only takes a couple of minutes. From there you will have an approval within an hour and funding possibly by the following business day.
To apply, simply….
- Complete online application form, after which you get a pre-approval
- Upload basic documents
- Sign the loan agreement
- Have the funds ready to fund the settlement, or transferred to you the same day!
How Bridging Finance Works?
Bridging loans are a perfect finance solution for an individual or a business owner who requires funds for a short period of time. The could be to purchase a new asset which is either a property, equipment, etc. while waiting for the sale of another asset.
Real estate property buyers are the most common users of Bridging Loans. Property developers use bridging finance all the time as they are often on the lookout for the next block to develop before they have sold the subdivided blocks from the current development.
Business Owners also benefit from Bridging Loans too. It’s the ‘bridge’ between getting the funds today, whilst waiting to get paid for something else at a later stage.
eg: Bridging loans can help your business access cash to straight away to buy new equipment, whilst your still waiting for a buyer for your old equipment.
Why We are the Largest in Australia
We are backed by Australia’s largest private business lender. We are committed to providing the fastest, and most flexible bridging loans in Australia.
Fast short term business funding is all we do, and we are recognised as the leader in the short-term lending industry. The fact that we have been lending since 2004 is testament to our fantastic customer service. We are also widely regarded for our honesty and transparency.
Our bridging loans will also be approved for people with bad credit scores, loan arrears, and tax debts.
Getting a Bridging Loan through us enables you to….
- Search for a new asset without worrying about the sale date of your existing asset.
- Flexible repayment arrangements
- Capitalised interest and costs (so no payments during the loan term)
- Competitive bridging loan interest rates
Fast funding in 24 hours means you will never miss an opportunity!
Frequently Asked Questions
Our Bridging loans are usually for a term of 1 to 6 months, however we are all about flexibility and we can extend our loan terms to 12 months or more if required. We will work in with your individual needs.
YES absolutely. As long as there is sufficient equity in your property, we can still lend to you, and it won’t affect your current 1st mortgage loan.
The cost of a bridging loan is determined by the loan amount and loan term, we have a no obligation letter of offer which will set out the exact cost of the loan. This is issued once an application has been lodged.
You can borrow up to a maximum of 75% of the value of your property, this must also include any current mortgage you have.
We have an interest only 12 month loan option, or you can choose to have all interest and fees capitalised into the loan.
Interest rates start from 1.95%pm.
Our loan terms range from 1 month to 12 months, however extensions are available.
Yes, credit history is not relevant to our funding, however in some cases we may require any court judgments to be repaid from the loan proceeds.