Bridging Loan

A bridging loan is a short-term, secured loan typically used to 'bridge' a gap between buying a new property before selling an existing one, or to fund an auction purchase or rapid refurbishment.. Terms are usually 3–24 months. Interest rates are significantly higher than mortgage rates and are often rolled up (added to the balance) rather than paid monthly

A clear exit strategy — typically a sale or refinance — is essential.