Compare bridging finance in minutes.

A bridging loan is a short-term, secured loan typically used to "bridge" a gap in funding — for example, between buying a new property and selling an existing one, or while waiting for longer-term finance to complete. It's secured against property or another qualifying asset, arranged quickly compared with a standard mortgage, and is usually repaid in full within a matter of months rather than years, via a pre-agreed exit such as a sale or refinance.

Common uses include buying a new home before selling your current one (chain-break), purchasing at auction where funds are needed within a short deadline, funding a light or heavy refurbishment before refinancing onto a term mortgage, raising capital against an asset you already own, and providing development exit finance once a project completes. Both regulated (where you or a family member will live in the property) and unregulated (investment or business purpose) bridging is available depending on your circumstances.

In some circumstances, yes — bridging finance can be used to raise capital that then funds a deposit on another property, for example by releasing equity from a property you already own. Whether this works for your situation depends on your overall borrowing, the security property's value, and your exit strategy, so it's worth discussing your specific circumstances with a broker.

Bridging finance is most commonly secured against residential, semi-commercial or commercial property, including HMOs and land (with or without planning permission). Lenders vary in what they'll accept — some specialise in complex or non-standard properties — so the right lender depends on the asset type, its condition, and its value.

Bridging loan rates are usually quoted monthly rather than as an annual rate, and are higher than standard mortgage rates to reflect the short-term, flexible nature of the lending. Monthly rates on available products commonly range from around 0.5% to over 1%, depending on factors like loan-to-value, the type of security property, and credit profile. Our quick estimate tool gives an indicative rate range based on your specific circumstances.

There are several common structures: retained (the full term's interest is deducted from the loan at the start), rolled-up (interest accrues and is paid at the end, alongside the capital), serviced (you pay interest monthly, similar to an interest-only mortgage), and part-and-part (a mix of the above). Which structure suits you depends on your cash flow during the loan term and your exit plan.

One of the main advantages of bridging finance is speed — while every case is different, funds can sometimes be released within a couple of weeks, and some lenders offer fast-track or same-day agreement in principle for straightforward cases. Timescales depend on valuation, legal work, and how quickly supporting information is provided.

Bridging finance is typically provided by specialist short-term lenders rather than high-street banks, many of whom don't offer this type of product at all. Because the market includes many lenders with different criteria, rates and speeds, most borrowers go through a broker to compare available products and find a suitable match — which is exactly what this tool is designed to help with.

The main benefit is speed and flexibility — bridging can complete faster than a standard mortgage and can be secured against property types or circumstances that other lenders won't consider. The trade-off is cost: interest rates and fees are higher than long-term finance, and because the loan is secured, your property may be repossessed if you don't keep up repayments or the loan isn't repaid via your exit strategy. It's important to have a clear, realistic exit plan before taking out a bridging loan.

Depending on your circumstances, alternatives can include a standard mortgage or remortgage, a further advance from your existing lender, a secured or unsecured personal loan, development finance for larger building projects, or auction finance — a bridging-adjacent product built specifically around auction timescales. Which is most suitable depends on your timeframe, the amount needed, and what you're using the funds for.