Vector bridging finance is used for.
AUCTION PURCHASE – pre-approval required and fast completion. Often clients require pre-approval for a property that they wish to bid on at auction and need to complete within 14 days after successfully purchasing the property. In this instance, a bridging loan is the perfect tool to help facilitate the purchase. Often the exit strategy is to pay the money back by a traditional mortgage.
TIGHT TRANSACTION DEADLINES - Often banks and high street lenders can-not facilitate a short term loan quick enough whereby it takes several weeks, often months to underwrite.
BANKS WILL NOT LEND - More and more banks have an inability to lend on non-standard mortgage deals. As such, bridging loans offers a quick and realistic process.
RENOVATION OR REFURBISHMENT OF A RESIDENTIAL, COMMERCIAL OR BUY TO LET PROPERTY - We are finding more and more that banks will not lend on properties that are in need of refurbishment or redevelopment. In this instance a bridging loan is the perfect tool to help finish the property.
CHAIN BREAK FINANCE - A classic bridging loan need – where a client has an offer on their property but wishes to purchase another (or put a deposit down) and funds are required quickly for a short period and repaid when the property transaction completes.
EQUITY RICH CASH POOR / PORTFOLIO EQUITY RELEASE - Many people and landlords have a lot of equity but cash may be tight. Equity can be released from the properties in order to purchase new ones or pay off arrears and help the finances back on track.
REQUIRE A LOAN WHERE INTEREST IS NOT SERVICED MONTHLY - Interest on bridging loans can be serviced, rolled-up or retained. This means you can use the equity in a property to guarantee interest payments and these are paid on redemption.
ADVERSE CREDIT APPLICANTS - Many people require a bridge because the banks and high street lenders have shut the doors firmly on anyone with adverse credit. A bridging loan is there to help get finances back on track and in doing, improve the credit scores.
REVOLVING CREDIT FACILITY - We can offer a bridging loan secured against a main asset whereby the charge is registered and remains in duration and this allows you to draw down in stages as and when required.
100% PURCHASE PRICE - We will consider 100% of the purchase price where there is additional security.