Auction Finance Calculator
Auction Property Finance Service
Features of our auction finance service:
- Auction finance - From £50,000 to £25m
- Fast turnaround
- Whole of market service - we can compare short term finance providers across the UK market
- Access to leading market mortgage rates - in most cases, after you have secured your auction property, you will want to replace short term or bridging finance with a mortgage - we can help
- Exclusive auction finance deals
To investigate your auction finance options call our team on 0117 313 6058 or fill in our call back form.
Need to move quickly? At auction you cannot leave things to chance when it comes to finance.
You need to be well prepared. Getting the necessary cash together to secure your perfect auction property can be a challenge. Fortunately, there are other options available. A bridging loan is a specialist type of short term loan, designed for property owners, which could help. This type of finance is designed to get you the funds you require in a faster time frame than with a conventional mortgage.
How can bridging finance help with auction property purchase?
If you plan on buying a property at auction, it is essential to be aware that the process moves fast. In fact, you will be expected to pay a percentage of the property’s value on the day of the auction (typically 10%) in order to secure it. The remainder of the purchase price has to be paid within a short timeframe, usually around 28 days.
The fast-paced nature of the property auction process means you need to be completely ready to pay before the auction even commences. If you do not pay up within the required timeframe, you could lose not only your property but also your deposit; this could be as much as 10% of the value of the property.
Advantages of bridging loans for auction property finance
When it comes to buying property at auction, a bridging loan can offer many advantages, such as:
- Lending for an auction property can be made within hours of the initial enquiry to the lender, and the money can be made available within days. This allows the bidder to easily complete the auction purchase within the time frame specified by the auction company.
- You could also use a bridging loan to pay the 10% deposit required, provided that you agree this with your bridging loan provider prior to the auction date.
- You may be able to secure the bridging loan against any current property that you own, and of almost any type – residential, commercial or even land only.
Call our auction finance bridging loan team on 0117 313 6058 or request a callback.