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Bridging Loans with Money Factors Ltd: Fast, Flexible Property Finance

Bridging loans are a fast and flexible short-term funding solution designed to help individuals and businesses “bridge the gap” when immediate access to capital is needed. At Money Factors Ltd, we specialise in arranging bespoke bridging loan solutions for homebuyers, property developers, investors, and businesses who need quick funding without the delays associated with traditional mortgage lenders.

Whether you're buying a new property before selling your current one, financing a renovation, or seizing a time-sensitive investment opportunity, bridging finance may be the answer.

What is a Bridging Loan?

A bridging loan is a short-term, interest-only loan typically used to fund the purchase of a property while waiting for another transaction (like the sale of an existing property) to complete. They’re usually secured against property or land and repaid within a few weeks to 12–18 months.

Money Factors Ltd helps clients across the UK secure tailored bridging finance to meet tight deadlines, avoid property chain collapses, or take advantage of lucrative investment opportunities.

Types of Bridging Loans: Open vs Closed

When considering a bridging loan, it's important to understand the two main types:

Open Bridging Loans

Open bridging finance has no fixed repayment date but is typically expected to be repaid within 12 to 24 months. This is ideal if you’re still in the process of selling an existing asset.

Closed Bridging Loans

Closed bridging loans have a set repayment date, making them cheaper and more predictable. They’re commonly used when contracts have been exchanged, and you simply wait for the transaction to complete.

Our Money Factors Ltd team will assess your circumstances and help you determine which type of bridging loan best suits your needs.

What is a First-Charge or Second-Charge Bridging Loan?

Bridging loans come with either a first or second charge against the property being used as collateral:

First-Charge Bridging Loans

These are secured against a property with no existing mortgage or loan. If you default, the lender first prioritises recovering their funds.

Second-Charge Bridging Loans

Used when there’s already a mortgage in place, second-charge bridging loans are riskier for lenders and, therefore, often come with higher interest rates. Permission from your existing mortgage lender is required.

Money Factors Ltd works closely with clients and lenders to navigate these complexities, ensuring your bridging loan is structured to your best advantage.

What Can Bridging Loans Be Used For?

Bridging loans are incredibly versatile. Here are some of the most common uses:

  • Property purchases before selling your current home

  • Auction property purchases, where completion is required within 28 days

  • Renovating uninhabitable properties not eligible for standard mortgages

  • Breaking a property chain when a buyer pulls out at the last minute

  • Buy-to-let investments or property "flips"

  • Commercial purposes such as land acquisition, business expansion, or urgent cash flow needs

No matter your reason, Money Factors Ltd has the experience and lender relationships to find the right bridging finance for your goals.

Can Businesses Apply for Bridging Finance?

Yes – many UK businesses use commercial bridging loans to access short-term capital. Common uses include:

  • Purchasing commercial property or development land

  • Renovation or refurbishment projects

  • Buying stock or inventory

  • Managing cash flow during seasonal dips or unexpected expenses

At Money Factors Ltd, we assist business owners, developers, and landlords find efficient commercial bridging finance with competitive terms.

How Do Bridging Loans Work?

Bridging loans are secured loans backed by collateral—usually property. Here's how they typically work:

  1. Loan Amount: With additional security, you can borrow up to 75% LTV (Loan to Value).

  2. Loan Term: Most bridging finance terms are 3–18 months.

  3. Interest Payments: Interest is charged monthly and can be paid either monthly or "rolled up" to the end.

  4. Exit Strategy: You must have a clear repayment plan, usually involving the sale of a property, a remortgage, or income from another source.

At Money Factors Ltd, we ensure that your exit strategy is sound and your loan is structured for quick approval and funding.

How Much Can You Borrow with a Bridging Loan?

The amount you can borrow depends on the property value, equity, and your financial profile. Generally, borrowers can access:

  • Up to 75% LTV for first-charge loans

  • Lower LTV for second-charge loans due to increased risk

Money Factors Ltd will conduct a personalised affordability assessment and offer tailored options to match your needs.

Bridging Loan Costs: What You Need to Know

Bridging loans are costlier than traditional finance because they’re short-term and fast to arrange. Here's a breakdown of typical fees:

  • Interest Rates: From 0.5% to 2% per month

  • Arrangement Fees: 1%–2% of the loan

  • Valuation Fees: Paid upfront for property assessments

  • Legal Fees: Covers conveyancing and legal due diligence

  • Exit Fees: Sometimes charged if you repay early

We’ll help you calculate the true cost of your bridging loan, factoring in all applicable fees and interest.

Why Choose Money Factors Ltd for Bridging Loans?

At Money Factors Ltd, we are specialist bridging loan brokers with access to an extensive panel of private lenders, high-street banks, and specialist finance providers.

We Offer:

  • Access to exclusive rates through trusted lender relationships

  • Fast turnaround times – often within days

  • Tailored advice and flexible loan options

  • Transparent service with no hidden surprises

  • Dedicated support from application to completion

With our expert guidance, you’ll secure a bridging loan that aligns with your financial goals and timeline.

How to Apply for a Bridging Loan with Money Factors Ltd

Our five-step process makes securing a bridging loan straightforward and stress-free:

  1. Free Consultation – We evaluate your financial needs and goals.

  2. Lender Matching – We compare lenders to find the best fit.

  3. Document Gathering – We help you prepare everything needed.

  4. Application Submission – We handle the entire process for you.

  5. Ongoing Support – We stay with you through funding and beyond.

Speak to a Bridging Finance Specialist Today

Looking for bridging loans that are fast, flexible, and tailored to your needs? Contact Money Factors Ltd today for expert advice, competitive rates, and a hassle-free experience from start to finish.

Call us now or fill out our quick enquiry form to get started.