How to find a bridging finance provider
There is a growing trend in the UK for people needing bridging finance to help complete a vital purchase but trying to find a reputable provider is not always so straightforward.
With the improving housing market in the UK leading to more property sales, buyers sometimes need a short term loan to help pay for a property before the finance or mortgage comes through - this is one example of what a bridging loan can be used for.
Indeed, the bridging loan market in the UK is reaching new record levels with the market worth more than £2 billion in 2013. That's a rise of 27% on the year before and the bridging finance market looks likely to grow even further in 2014.
What can bridging finance be used for?
The most popular use for bridging finance, as stated previously, is to help buy a property before the finance or mortgage comes through. This is a popular way of financing the buying of a buy to let property, for instance, particularly if the property is being sold at an auction.
However, bridging finance is not just used for buying property, some people use them as a short term loan for other needs and because of the nature of bridging finance, a bridging loan tends to be slightly more expensive than would be the case for a normal loan.
In addition, some bridging finance providers also charge a hefty admin fee which makes the bridging loan itself quite an expensive route to take for many people.
Finding a bridging finance company
Not all bridging finance companies are the same and care should be taken when selecting one to meet an individual’s needs.
The number of bridging finance firms has increased in recent years because building societies and banks have become stricter in their lending criteria, particularly since the financial crisis struck in 2007.
However, this does not mean that every bridging loan provider is offering a very good deal.
It’s important to understand that no-one should take out a bridging finance loan with a company that is not registered with the Financial Conduct Authority because this means that the firm concerned is not regulated or monitored by the financial watchdog.
It also means that should something go wrong, then the customer hasn't got the same level of legal protection.
Get bridging finance from the specialists
One fast-growing firm is Bridging Finance Specialists who have built-up an impressive reputation for being transparent in their dealings and offering a bridging loan which will suit the circumstances of the applicant.
Indeed, it should be noted that everyone working for Bridging Finance Specialists are fully qualified to offer advice and are accredited by the National Association of Commercial Finance Brokers (NACFB) which means they work to a strict code of practice to offer a competitive and reliable service with reputable lenders.
Potential applicants should be aware of using any bridging finance company that is not accredited with the NACFB since they will not have the same professional obligation to offer impartial advice and to use a wide variety of bridging finance specialist lenders.
Impartial advice for bridging finance
Because of the number of firms offering bridging finance has grown so much in recent years there is now a wide range of bridging loan options available - which simply makes the choice hard to make.
This is where it is important that independent financial advice is taken by a specialist in the area to ensure that the best deal is being found which suits the client and not the broker or the lender.
However, anyone interested in taking out a bridging finance product should be aware that this is a competitive market and there are some very good deals on offer but not all of them are easy to find which is why using the services of a firm such as Bridging Finance Specialist would really pay dividends.
For more information about bridging finance, contact Bridging Finance Specialists who will be happy to answer any questions about the bridging loan market and of the lenders.
With the improving housing market in the UK leading to more property sales, buyers sometimes need a short term loan to help pay for a property before the finance or mortgage comes through - this is one example of what a bridging loan can be used for.
Indeed, the bridging loan market in the UK is reaching new record levels with the market worth more than £2 billion in 2013. That's a rise of 27% on the year before and the bridging finance market looks likely to grow even further in 2014.
What can bridging finance be used for?
The most popular use for bridging finance, as stated previously, is to help buy a property before the finance or mortgage comes through. This is a popular way of financing the buying of a buy to let property, for instance, particularly if the property is being sold at an auction.
However, bridging finance is not just used for buying property, some people use them as a short term loan for other needs and because of the nature of bridging finance, a bridging loan tends to be slightly more expensive than would be the case for a normal loan.
In addition, some bridging finance providers also charge a hefty admin fee which makes the bridging loan itself quite an expensive route to take for many people.
Finding a bridging finance company
Not all bridging finance companies are the same and care should be taken when selecting one to meet an individual’s needs.
The number of bridging finance firms has increased in recent years because building societies and banks have become stricter in their lending criteria, particularly since the financial crisis struck in 2007.
However, this does not mean that every bridging loan provider is offering a very good deal.
It’s important to understand that no-one should take out a bridging finance loan with a company that is not registered with the Financial Conduct Authority because this means that the firm concerned is not regulated or monitored by the financial watchdog.
It also means that should something go wrong, then the customer hasn't got the same level of legal protection.
Get bridging finance from the specialists
One fast-growing firm is Bridging Finance Specialists who have built-up an impressive reputation for being transparent in their dealings and offering a bridging loan which will suit the circumstances of the applicant.
Indeed, it should be noted that everyone working for Bridging Finance Specialists are fully qualified to offer advice and are accredited by the National Association of Commercial Finance Brokers (NACFB) which means they work to a strict code of practice to offer a competitive and reliable service with reputable lenders.
Potential applicants should be aware of using any bridging finance company that is not accredited with the NACFB since they will not have the same professional obligation to offer impartial advice and to use a wide variety of bridging finance specialist lenders.
Impartial advice for bridging finance
Because of the number of firms offering bridging finance has grown so much in recent years there is now a wide range of bridging loan options available - which simply makes the choice hard to make.
This is where it is important that independent financial advice is taken by a specialist in the area to ensure that the best deal is being found which suits the client and not the broker or the lender.
However, anyone interested in taking out a bridging finance product should be aware that this is a competitive market and there are some very good deals on offer but not all of them are easy to find which is why using the services of a firm such as Bridging Finance Specialist would really pay dividends.
For more information about bridging finance, contact Bridging Finance Specialists who will be happy to answer any questions about the bridging loan market and of the lenders.
Advertise on APSense
This advertising space is available.
Post Your Ad Here
Post Your Ad Here
Comments