Emergency Bridging Loan Completed in Just 1 Week
The Client: The client was an experienced property developer who had a history of large-scale property development projects.
The Property: A 2 bedroom flat in a town centre location on the outskirts of London, in close proximity to local amenities and transport links. The client wished to use the property as a buy to let investment.
The Finance: The client had placed a £20,000 deposit on the property at auction and required finance to complete the purchase.
The Challenge: Having placed the deposit, the client was expecting to receive the rest of his funds from overseas in time to comply with the auction completion deadline. Unfortunately, the money was unexpectedly delayed, so with 1 week to go, the client approached us to help secure the finance required. If he didn’t meet the completion deadline, he would lose both the property and his £20,000 deposit – so there was a lot at stake!
The Solution: We quickly collected the usual paperwork required for a bridging loan, bank statements and proof of income, and approached a lender we work with a lot and that we thought might be able to meet the time requirements. While bridging loans are generally quicker than mortgages, they usually take 2-3 weeks to complete. Despite the extremely tight deadline, we were able to reassure the lender of the clients' experience and credentials enough that they accepted the challenge. Within just 7 working days the funds were released; saving the clients deposit and the property. Here are the details: