Bridging Finance

What is a bridging loan?

A bridging loan is taken out to ‘bridge’ the gap between the purchase of a new property and the sale of an existing one.

Loans are generally short-term and secured on the existing property, but repaid as soon as this is sold.

‘Bridges’ may help you secure your new property, but you should be aware that they can be expensive and if the sale of your existing property falls through, you will be left paying two loans at once.

Your property may be repossessed if you do not keep up repayments on your mortgage.

Some Bridging Finance are not regulated by the Financial Conduct Authority.

Important information

When choosing a letting agent to act on your behalf, it is wise to choose one that is a member of The Association of Residential Letting Agents (ARLA). All members of the ARLA participate in a bonding scheme to protect both rental income and tenants’ deposits.

You can visit the arla website at Please note: when visiting this site you will moving to a website not regulated by the Financial Conduct Authority (FCA) We give no endorsement and accept no responsibility for the accuracy or content of any sites linked to from this site for further information on becoming a private landlord.

*Gov Website

This article (Buy to Let Mortgages) is intended to provide a general appreciation of the topic and it is not advice.

For more information please contact Centrad Limited on 01922 745400 or email and we will be happy to assist you.

Article expiry: 06 April 2023