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Short-Term Finance

Bridging Finance

structured to perform

30+ years · 110+ specialist lenders · £68.6m largest facility

Short-term, interest-only loans for those who need immediate access to capital for urgent site purchases, refinancing or chain breaks. Interest is rolled up as standard — meaning no monthly payments.

£250k — £25m+

Loan Size

3 — 18 months

Typical Term

Up to 75% LTV

Typical LTV

Key Features

What We Offer

Interest Rolled Up

No monthly payments. All interest is added to the loan and repaid when the property is sold or refinanced.

Speed of Completion

Decisions in hours, completions in days. Our fastest bridge completed in under 48 hours.

Flexible Security

First and second charges considered. Cross-collateralisation available to maximise borrowing.

No Monthly Payments

Keep your cashflow free during the bridge period. Everything is settled at exit.

Exit Strategy Focused

We plan your exit from day one — whether that is sale, refinance or development finance.

Ideal For

Common Scenarios

Site Acquisition

Secure a development site quickly before arranging longer-term development finance. Bridge into dev finance seamlessly.

Auction Finance

Pre-approved bridging so you can bid with confidence. Complete within the 28-day auction deadline.

Chain Break

Proceed with a purchase before your existing property has sold. Break the chain and secure the deal.

Holding Finance

Short-term funding while waiting for planning permission, pre-sales, or longer-term facility arrangement.

Bridge to Development

Both facilities. One desk.

Most brokers arrange your bridge and wave you off. We arrange the bridge and the development facility it exits into — so the transition is planned from day one, not left to chance when the term runs out.

01

Secure the site

A developer's biggest risk is losing the site. We arrange the bridge fast — you control the asset while planning, appraisals and the full facility progress.

02

Hold & prepare

Planning progresses, we write the development appraisal, and light enabling works — demolition, clearance, groundworks — can sit inside the bridge where the facility allows.

03

Exit into development finance

The development facility repays the bridge — same desk, same numbers, no re-introduction. The exit is pre-engaged before the bridge is even drawn.

Site Types We Bridge

Lender appetite by site and stage

A consented brownfield site lends very differently from a strategic greenfield holding. Knowing which of our lenders is active for each profile — and at what leverage — is what gets a bridge priced properly.

Brownfield with full planning

The strongest profile: planning risk gone, GDV transparent, comparables established. Best leverage and keenest pricing.

Outline consent

Principle established, reserved matters outstanding. Widely fundable — many developers bridge here and progress reserved matters before the development facility.

Pre-application / land banking

Strategic acquisition before consent. Specialist lenders only and lower leverage — but the planning gain can transform the numbers.

Permitted development conversions

Office-to-resi and similar PD routes. Strong lender appetite because timelines are shorter than full planning.

Infill & small schemes

Single-plot and backland schemes that development lenders find too small. Ideal bridge territory — we structure these creatively.

Site assembly & regeneration

Multi-title assemblies, S106-heavy schemes, phased holdings. Bridging funds the assembly and holding phases while the master facility is structured.

Complete Faster

What lenders want on day one

Site bridges with the paperwork ready complete in around two weeks; without it, they drift for a month or more. Have these ready — or let us help you assemble them:

  • Site plan and clean title pack (multi-title assemblies take longest — start early)
  • Full planning history: consents, conditions, S106 and CIL position
  • A credible development appraisal — we write this for you
  • Exit evidence: our development-facility terms usually serve as exactly that
  • Your track record — or for first-timers, the professional team around you

Avoid These

Why development bridges go wrong

  • Optimistic planning timelines

    "Reserved matters in three months" rarely survives a real planning department. We size the term to the realistic programme.

  • Aggressive GDV assumptions

    Valuers write down numbers built on the single best comparable. Mid-range evidence avoids a painful renegotiation at term sheet.

  • Pushing the build into the bridge

    "Enabling works" means clearance and groundworks — not starting construction. The build belongs in the development facility.

  • No pre-engaged exit

    A bridge without a deliverable onward facility is the riskiest profile a lender sees. Ours exit into facilities we arrange ourselves.

Sister Site

Bridging beyond development?

We arrange development-related bridging right here. For the full short-term specialism — auction purchases, capital raising, refurbishment, commercial bridging and a dedicated cost calculator — our sister site bridging.fund covers every scenario in depth.

Visit bridging.fund

Bridging FAQ

Bridging finance — common questions

What does the term bridging mean?

In property finance, "bridging" refers to a short-term secured loan that bridges a temporary funding gap — typically the period between needing capital now (to complete a purchase, refinance, or start works) and a future event that will repay the loan (a property sale, a longer-term refinance, planning permission, or development drawdowns). Bridging loans are interest-only with rolled-up interest in most cases, secured against property as a first or second charge, and run from a few weeks to 18-24 months. The term originates from the loan literally bridging the borrower over a short-term cash-flow gap.

What is bridging in property?

Bridging in property is the use of a short-term secured loan against property to fund an immediate need pending a longer-term outcome. Common uses include: buying a development site before arranging full development finance, completing an auction purchase within the 28-day deadline, breaking a chain when one's existing property hasn't yet sold, releasing equity quickly against a property to fund another acquisition, or covering a refinance gap. Bridging is faster and more flexible than mainstream mortgage finance — decisions in hours, completions in days — but priced for that speed and short-term risk profile.

How much is a £200k bridging loan?

The cost of a £200k bridging loan is driven by four components, not a single headline figure: (1) monthly interest, charged on the balance and usually rolled up rather than paid monthly — so a longer term costs more; (2) the lender arrangement fee, typically a small percentage of the loan added on completion; (3) valuation and legal fees; and (4) any exit fee, where applicable. Because interest is monthly and term-dependent, the same £200k facility costs very different amounts over 3 months versus 12. Pricing also moves with loan-to-value, the property type, and the strength and speed of your exit (sale or refinance). For an accurate all-in cost on a specific £200k bridge — including the total rolled-up interest over your expected term — ask us for an indicative quote rather than relying on a single advertised rate.

Is a bridging loan a good idea?

A bridging loan is a good idea when it solves a specific, time-bound problem and there is a clear, credible exit to repay it — for example securing a development site before longer-term finance is in place, completing an auction purchase inside the 28-day deadline, or breaking a chain. It is the wrong tool where there is no defined exit, where the timescale is open-ended, or where cheaper long-term finance would do the same job without the short-term pricing. Because interest is charged monthly and usually rolled up, a bridge that runs longer than planned gets expensive quickly, so the exit (sale or refinance) matters more than the headline rate. This is general information, not advice — whether a bridge suits your specific circumstances depends on the deal, the exit and the numbers; we will tell you honestly if a bridge is the wrong fit before arranging one.

Who qualifies for a bridging loan?

Bridging is asset-led, so qualification rests more on the security and the exit than on income. Lenders look for: suitable property to secure against (first or second charge), a clear and credible repayment route within the term (a sale, a refinance, or development drawdowns), an acceptable loan-to-value (typically up to 75%), and a borrower with no unexplained adverse credit. We arrange commercial and development-related bridging for individuals, companies, SPVs, partnerships and trusts across the whole of the UK and Crown Dependencies. First-time and experienced developers both qualify where the deal and the exit stack up — the strength of the exit is what drives both eligibility and pricing.

What is the difference between bridging and development finance?

Bridging and development finance are both short-to-medium-term property loans, but they serve different stages and purposes. Bridging finance is typically used before or around planning — to acquire a site quickly, break a chain, or hold a property while arranging longer-term funding. It is interest-only, fast to arrange, and secured against the current value of the property. Development finance is a structured facility used to fund the actual build: drawdowns are released in stages against construction cost, the loan is sized against the gross development value (GDV) rather than the current site value, and monitoring is ongoing throughout the build. Many developers use both: a bridge to secure the land quickly, then a development facility to fund the build once planning is confirmed. We can arrange both stages, structure the bridge-to-dev transition, and ensure the bridging exit into development finance is planned from the outset rather than left to chance.

What is bridging for?

Bridging finance is for situations where you need short-term capital quickly and have a clear plan to repay it within weeks or months. In property development, the most common uses are: acquiring a development site before longer-term development finance is in place (often before planning is granted); completing an auction purchase within the 28-day deadline; breaking a property chain when an existing asset has not yet sold; holding a site while waiting for planning permission or pre-sales to stack up; and covering a short-term gap between one facility ending and the next beginning. A bridge is not a long-term solution — interest is charged monthly and rolls up, making a bridge that overruns expensive. The key requirement is a defined, credible exit: a sale, a refinance, or a transition into development finance. If the exit is clear and the timeline is finite, a bridge is often exactly the right tool. We tell you honestly if it is the wrong fit before arranging anything.

Can I buy a house with a bridging loan?

Yes — but whether we can help depends on the purpose of the purchase. If you intend to live in the property yourself, the bridge is regulated by the FCA as consumer credit. developing.fund and bridging.fund are commercial finance specialists and do not arrange regulated bridging for owner-occupiers; you would need an FCA-authorised bridging broker or mortgage adviser for that. If you are buying the house as an investment, to refurbish and sell (a flip), to convert into flats, to let out, or to develop — the bridge is unregulated commercial finance, and that is exactly what we arrange. Common scenarios include buying a house at auction to renovate and sell on (you need to complete within 28 days — a bridge handles that), acquiring a house with development potential before planning is in place, or purchasing when your own funds are temporarily tied up in another deal. The key is a clear exit: sale of the completed or refurbished house, refinance onto a buy-to-let mortgage, or drawdown of a development facility. If the purpose is commercial rather than owner-occupation, speak to us about a bridge.

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