Downsize Bridging Loan
GWD Finance are specialists in downsize bridging loans
A downsize bridging loan could be suitable if you have a property with equity in it but need to move to a smaller property before the current one sells.
Generally the term of the bridging loan will be 12 months and the interest will roll up so you will not need to service it monthly. This gives you additional time to sell your current home after you secure and move into your new home. These loans are not driven by income so even if you have no income or are retired you may be able to borrow the full purchase price. These tend to have higher interest rates than longer term mortgages.
Example
A client had a large main residence that they wanted to sell quietly ‘off market’.
There was substantial equity in it but they were retired and had minimal income and available cash.
Their assets were tied up and they did not want to liquidate them at the time of application.
They wanted to downsize to a very competitive area and needed to move fast.
We arranged the client a bridging loan against their main property, they used the funds to purchase the new home and could sell their residence at their own pace not having to worry about taking a lower offer.