Choosing The Right Broker For Bridging Finance
If you need quick access to cash and need to borrow a large amount of money, bridging loans may be the solution. They offer a flexible alternative to traditional finance and apply to many scenarios when you need to “bridge a gap”.
However, you may not know the next step to take or if bridging finance is the right choice for you. By choosing a broker, you can significantly ease the process and find suitable options for your circumstance.
Why use a bridging loan broker?
The benefits of applying for finance through a broker are mainly in the options it allows, and the time it saves.
Brokers can prevent missteps or oversights, especially for the inexperienced – having the necessary help at hand, and avoiding critical mistakes, is well worth the additional broker fee.
With a broker, you can get the advice needed to point you toward suitable lenders based on your needs and avoid the challenges of going to lenders directly.
Can I go directly to lenders instead?
It is not advisable to approach lenders directly – the process can be tedious if you are inexperienced in bridge financing. In addition, most people may be unable to recognise or seek out the correct lender for their current situation.
Attempting to borrow this way will put you outside of a broker’s network – you will forfeit the perks of working with specialists who have access to the entire short-term finance market and established relationships with lenders.
Bridge lenders tend to prefer to deal with brokers. As a result, it can be challenging to approach the appropriate lender directly - unless you are familiar with them, or have previous experience.
What can an experienced bridging loan broker do for you?
- Chiefly, brokers' will give access to a market of lenders unavailable to you as an individual – they will get you comparative quotes and find a lender suitable and willing to offer a loan.
- Brokers will advise on the best course of action as to whether bridging finance is an option for you, how to proceed and answer any questions you may have.
- Brokers work to create a competitive environment for lenders, which can lower rates, making them more favourable to borrowers overall.
- Brokers know how to present their clients' situations to lenders, making borrowers a more appealing option.
- They will help you understand and guide you through the entire process – dealing with documentation, giving you an indicative quote, and dealing with lenders on your behalf.
- Ultimately, brokers will work through your interests to secure you the best deal.
Additionally, bypassing brokers may result in you applying for many loans unsuccessfully, which could impact your credit score.
Property purchase or development requires swift action to secure funds in a competitive market. Without the expertise of a bridging loan broker and the benefits it gives you, your plans may be hindered and may never get off the ground
What fees do bridging loan brokers charge?
Brokers will require a fee for arranging finance - we typically charge a broker fee of £995.
With this additional fee, brokers can offer you bespoke solutions to secure the best deal. Moreover, access to short-term lenders and expert advice from a loan broker is worth the cost to many individuals seeking bridging finance options.
Secure the best bridging loan through our specialists
Our experience with short-term financing allows us to help you in time-sensitive situations with bridge loans that offer both speed and flexibility.
We have dealt with varying personal circumstances regarding bridge finance and can undoubtedly tailor a solution for you by presenting your case to our network of lenders.
Our team is available to answer any questions you may have and how we can help you secure the best short-term finance solution.