Regulated Bridging 

 

A regulated bridging loan is a short-term loan that is secured against a property that you are living in or going to live in. These loans are regulated by the Financial Conduct Authority (FCA).

They are often used to "bridge" the gap between the sale of an existing property and the purchase of a new one.

Regulated bridging loans can be made available to you when you wish to secure money against a property you are currently living in, or are going to live in. More traditional mortgage processes are often too long to suit the needs of those in need of quick financial aid for their property purchase. This is often the case in situations such as:

1. Where a buyer pulls out of the property you wish to sell to fund your move.
2. Where you wish to buy a property at auction at short notice and need flexibility of budget.

In all of these circumstances, regulated bridging loans are a useful way of helping you through the process with minimal hassle, and your loan can be paid back once you have the profit from your property sale or tenancy

You may have to pay an early repayment charge to your existing lender if you remortgage.

The Financial Conduct Authority does not regulate some aspects of buy to let mortgages.
Your home or property may be repossessed if you do not keep up repayments on your mortgage.