Bridging Loan Process

Bridging loans works through a simple process which is easy to understand and doesn’t hold many complications. All bridge lenders work through a similar procedure which is quick and requires less documentation unlike traditional loans.

They quickly check the enquiry put in by you and verify your details. After verification, arrangements are made for the valuation of the property against which the loan will be provided. The Valuation fee is generally paid by the borrower. The suitable quote is then prepared by the lender and if terms and conditions are agreed by both the parties involved, the process is taken forward.

Valuation is an important aspect of commercial bridging loans, as it will finalize the amount of loan which will be sanctioned. In the due course of valuation, you need to undertake the work related to the documentation of loan, documentation of the land urgently. Make sure that you check for the previous records of property like land disputes, owner of the property etc.

There are certain other fees which you will encounter in this process of short term finance, which are as follows-

Legal fees- This fee is paid to bridge loan financing agency’s solicitor for all the legal help taken. This price includes the help taken by you as well by the firm.

Lender’s completion fee – This cover the miscellaneous expenses occurred during the process. This is calculated as per the bridge loan amount.

Good faith deposit – Optional, This depends upon the lender. This is charged to assure that you do not back out after the loan is sanctioned by the lender.