Finding the right finance for a refurbishment or renovation project can be difficult, especially when the property needs work before it can be sold, let or refinanced. Light and heavy bridging finance can provide short-term funding to help you purchase, refinance or improve a property while you complete the works and arrange your exit strategy.
Whether you are carrying out minor upgrades, structural renovations, a property conversion, or a larger refurbishment project, Discount Mortgages can help you search the market for suitable light and heavy bridging finance options.
We make light and heavy bridging finance as simple as possible.
The overall cost for comparison is variable and will depend on your circumstances. Please ask for a personalised illustration.
To get a suitable light or heavy bridging finance quote, your advisor will review the property, loan amount, current value, expected end value, schedule of works, refurbishment costs, timescale, security and your intended exit route. Discount Mortgages can compare available lenders and help identify a solution that matches your project requirements.
If your current lender or bank cannot support the property in its current condition, or you need funds quickly to secure and improve a property, refurbishment bridging finance may offer a flexible short-term option. It is often used by investors, landlords, developers and property buyers who want to add value before selling or refinancing.
Light and heavy bridging finance is a short-term secured loan used to fund property refurbishment, renovation or improvement projects. The finance can help bridge the gap between purchasing or refinancing a property and moving onto a longer-term mortgage, buy-to-let mortgage, commercial loan or sale.
Light refurbishment bridging finance is usually used for non-structural works, such as cosmetic improvements, new kitchens, bathrooms, decoration, flooring or general upgrades.
Heavy refurbishment bridging finance is usually used for larger projects, such as structural changes, extensions, conversions, major renovation works or properties that need significant improvement before they can be occupied, sold or refinanced.
There are many reasons why borrowers use bridging finance for refurbishment projects. The main benefit is flexibility. Some properties may not be suitable for a standard mortgage until the works are complete, especially if they are in poor condition or require major improvements.
Another benefit is speed. Bridging finance can often be arranged more quickly than traditional lending, which can be useful when buying at auction, securing an investment opportunity or starting works within a tight timescale.
Light and heavy bridging finance may help you:
Light refurbishment bridging finance is generally suitable when the work does not involve major structural changes or planning complications. This may include decorating, replacing fittings, upgrading kitchens or bathrooms, improving flooring, or carrying out general repairs.
Lenders will usually want to understand the current value, the estimated cost of works, the expected value after refurbishment and how the loan will be repaid once the works are complete.
Heavy refurbishment bridging finance is designed for more complex projects. This may include structural changes, extensions, conversions, change of use, major repairs, or properties that require significant work before they are mortgageable.
Because heavy refurbishment projects can involve greater risk, lenders may ask for more detailed information, including planning documents, building regulations, a schedule of works, contractor details, cost estimates and the expected gross development value.
Lenders will usually assess the property value, loan-to-value, borrower profile, refurbishment plans, experience, works schedule, costs, security and repayment strategy. The exit strategy is especially important because light and heavy bridging finance is designed to be short term.
Common exit strategies include selling the refurbished property, refinancing onto a residential mortgage, moving onto a buy-to-let mortgage, arranging commercial finance, or repaying the loan from another confirmed source.
Finding the right light and heavy bridging finance can be complex because every property, project and lender is different. Discount Mortgages can help you compare suitable options and guide you through the application process from enquiry to completion.
Our advisors can help assess your requirements, search available lenders, explain the costs, and support you with the paperwork required for your refurbishment bridging finance application.
Our advisors will do their very best to keep you informed at every stage:
Just need to enter some basic information into our online enquiry form and we will search the market for suitable light and heavy bridging finance options.
Or if you prefer, call us today and speak with an advisor who can discuss your property, refurbishment plans, funding requirement, timescale and exit strategy.
Light and heavy bridging finance is subject to status, valuation, lender criteria and affordability checks. Your property, land or security may be repossessed if you do not keep up repayments on a loan or mortgage secured against it.
