Bridging Loan for House Renovation
Renovating a house can be a good investment or a cheap way to get yourself a new home. However, funding house renovations is not always straightforward as traditional borrowing such as a mortgage may not be an option.
Bridging loans are a type of short term finance which can often be secured on a property when a mortgage cannot. They can be arranged quickly and usually offer loan terms of up to 18 months, which is enough time to complete many standard property renovation projects.
When to use a bridging loan for house renovation
There are various situations where a bridging loan may be the right choice for a property renovation project:
- If the property is being purchased at auction (so there is no time to get a mortgage)
- If the property is unmortgageable (e.g. does not have a working kitchen and bathroom)
- If you need extra funds to complete the renovation
- If a previous source of funding has fallen through and you need a quick solution to keep you moving forwards
How to get a bridging loan for house renovation
To get a bridging loan, you will normally need to apply though a loan broker. This is because bridging loans tend to only be offered by private banks and lenders or subsidiaries of high street banks. None of these generally deal direct with the public, but rather through intermediaries such as brokers.
There are a number of specialist private lenders which focus on development finance and these may be the best choice for house renovation projects. A good independent loan broker will be able to advise you on which lenders offer the best deals on bridging finance for you.
Compare bridging loans for house renovation
Our free bridging loan calculator lets you quickly and simply find the lowest interest rates and fees on bridging loans for house renovation. All you need to do is share some basic information about your borrowing needs and financial circumstances and the calculator does the rest.
Need a bridging loan for house renovation? Get in touch with our friendly expert team of loan brokers using the contact form on the right or by calling 0117 313 6058.