Property purchase with a bridging loan

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Property purchase with a bridging loan

The key to any investment is timing. Too soon or too late and the opportunity could be gone. There are many reasons why investors may miss their chance to purchase a property and a bridging loan could be the perfect solution.

Bridging loans get their name as they can quite literally ‘bridge the gap’ between your current circumstances and your goal. So why would a property investor use a bridging loan from MT Finance to make a property purchase?

 

Securing the required funds

Property investment opportunities can appear at any time, even at an inconvenient one. But a lack of funds currently in place doesn’t need to be a barrier between you and a new property. With a bridging loan, you can secure between £50,000 and £10,000,000 to make your property purchase happen.

Loans are often used to make refurbishments to properties as well. Investors do this in order to make a higher selling price or rental return and a bridging loan is an ideal way of making this happen quickly.

 

Auctions and tight deadlines

One of the benefits of a bridging loan is the speed in which they can be secured. Time sensitive situations can occur if you’ve identified a property in an auction, have a deadline or need funds quickly to avoid forfeit.

At MT Finance, we are frequently able to make funding decisions within hours of your initial enquiry, and the funding can be released in just a matter of days.

If you wish to purchase an uninhabitable property, a regular mortgage provider would not support your application. This does not apply with bridging loans as we see the property for its potential valuation.

 

Poor or adverse credit history

A major barrier with some lenders can be bad credit, and this often puts investors off even enquiring. MT Finance is a non-status lender and we will take a view on a poor credit history, CCJs and arrears before making a decision.

There are also no personal guarantees required or credit scoring and you may also not be required to provide a proof of income.

 

Competitive, low interest rates

Another major advantage of a bridging loan are the low interest rates available when making a property purchase. MT Finance can offer investors rates starting from just 0.75% which is amongst the best non-status provider rates found on the market.

 

Want to get more details about the benefits of bridging loans or would like to make an enquiry? Call us on 0203 051 2331 or fill in our contact form and one of our dedicated team will be more than happy to talk over your needs.

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