Bridging loans are flexible short-term loans that are quick to arrange. You can approach a lender directly, but a bridging loan broker can often find a better and cheaper loan deal. Arranging your loan directly with a lender can be both time consuming and stressful.
Saving you money and getting your loan approved
A bridging loan broker will know a wide range of lenders, and there is fierce competition among them. Most lenders are open to negotiation and discussion, and may be prepared to reduce the cost of a loan, provided that they approve the application. It is difficult to undertake expert detailed negotiations if you apply to a lender directly.
Unlike many other loans such as mortgages, there are no fixed criteria lenders use to make bridging loan decisions. Lenders look at each loan application on a case-by-case basis. A loan application could be turned down by one lender, but approved by another. The bridging loan brokers will be able to take a detailed look at your application then approach lenders that the broker knows are likely to approve the loan.
The process from initial application to receiving the loan funds requires a lot of work. It takes much organisation to ensure that the process goes smoothly and quickly, with numerous documents to prepare. If mistakes are made in documents, or documents are delayed, this can add more time to the application process.
There will be legal work involved. Unless you use a solicitor who is an expert in bridging finance, you could find the legal work held up in a queue of work at the solicitor’s office.
A bridging loan broker will be able to oversee the application process and chase up any areas where there are delays. The broker can also help the borrower correctly fill in the required documents.
Applying for a bridging loan can be stressful, especially if you also have a busy work and family life. For first-time borrowers, this will be their first experience of bridging finance, and they can be surprised out how complicated the process can seem, with numerous document requests, meetings and possible delays.
It is easy to feel overwhelmed by the process and this can cause stress. An experience bridging finance broker is your ally in the process. By helping you with the application and dealing with delays, they can make the experience a lot less stressful.
Talk to an experienced loan advisor
Taking out a bridging loan is not something that is generally taught at school, so most first-time borrowers are ignorant of what is involved.
Have a chat with one of our experienced advisors at Ascot Mortgages ,who can explain what is involved in applying for a bridging finance loan. If you then feel that you need a bridging loan, whatever your needs, Ascot Mortgages will help you through the whole process from finding a lender to having the loan funds available.