Moving home is exciting — but when buying and selling don’t line up, it can quickly become stressful. You might find your dream property before your current home sells, or a buyer might pull out at the last minute, leaving you in limbo.
That’s where bridging loans come in. A bridging loan helps you “bridge the gap” between buying your new home and selling your old one, giving you the funds, flexibility, and peace of mind to move on your own terms.
What is a Bridging Loan?
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A bridging loan is a short-term, property-backed loan that provides fast access to funds while you wait for your existing property sale to complete.
For example, if you’ve found your next home but haven’t yet sold your current one, a bridging loan can give you the money to buy first and sell later. Once your old property sells, you repay the loan in full.
It’s a temporary, flexible solution that helps home movers avoid delays, stress, and lost opportunities.
Why Home Movers Use Bridging Loans
This type of loan is especially popular among UK home movers because they solve a common problem: timing.
If you’re stuck in a property chain, one delay can hold everything up — or even cause your sale or purchase to fall through. With a bridging loan, you can step out of the chain completely, buy your new home, and complete your move without waiting on others.
In fact, according to recent industry figures, around one in four bridging loans are used to prevent chain breaks — helping people move without disruption or disappointment.
The Benefits of Bridging Finance
Here’s how bridging finance make moving home easier:
- Buy before you sell – Secure your new property even if your old one hasn’t sold yet.
- Move quickly – Bridging finance can be arranged in days, not months, so you don’t miss out on your ideal home.
- Avoid chain delays – Stay in control and move without being tied to other buyers or sellers.
- Reduce stress – Eliminate the worry of timing mismatches or double moves.
- Become a chain-free buyer – Strengthen your position with sellers and estate agents.
In short, they offer speed, control, and certainty when the timing of your move doesn’t quite line up.
Things to Keep in Mind
Because bridging finance is short-term and flexible, they come with higher interest rates and setup costs than a standard mortgage. They should always be used as a temporary solution — typically for a few months, until your old property sells or you arrange longer-term finance.
It’s also essential to have a clear repayment plan (known as an exit strategy) in place. Most borrowers repay the loan as soon as their old home completes its sale.
That’s why getting advice from an experienced mortgage broker is crucial. A broker can help you find the most suitable lender, explain the costs, and make sure bridging finance is the right fit for your situation.
Bridging the Gap with Confidence
At Liddle Perrett, we understand how stressful it can be when buying and selling don’t align. Our team can guide you through your options and help you decide if a bridging loan is the best way to move forward.
With the right advice, bridging finance can give you the freedom and flexibility to move into your new home without delay — and without the stress.
If you’re ready to make your move smoother, talk to our team today about bridging loans and how they could help you bridge the gap between selling and buying.
FAQs: Bridging Loans for Moving Home
What is a bridging loan?
A bridging loan is a short-term loan secured against property that helps you buy a new home before selling your current one. It “bridges the gap” between transactions, giving you quick access to funds when timing doesn’t line up.
How long does a bridging loan last?
Most bridging loans last between 3 and 12 months, depending on your circumstances. They’re designed as temporary finance until your property sells or you arrange longer-term funding such as a mortgage.
Who can get a bridging loan?
Bridging loans are available to homeowners, property investors and developers. For movers, they’re ideal if you’ve found your next home but haven’t yet sold your current one. Lenders usually require sufficient equity in your property and a clear repayment plan (known as an exit strategy).
How much can I borrow with a bridging loan?
You can usually borrow up to 75% of your property’s value, depending on your equity, credit profile and the lender’s criteria. A broker like Liddle Perrett can help you compare lenders and find out how much you could borrow based on your situation.
How quickly can a bridging loan be arranged?
One of the biggest advantages of bridging loans is speed. Some lenders can approve and release funds in as little as 5–10 working days, and in urgent cases, within 24–48 hours. This makes them ideal for chain breaks or time-sensitive purchases.
What are the costs of a bridging loan?
Bridging loans have higher interest rates and setup fees than standard mortgages because they’re short-term. Costs may include:
- Monthly interest (often between 0.5% and 1.5%, equivalent to 6% – 18% annually)
- Arrangement and valuation fees
- Legal and exit fees
Your broker will give you a full breakdown before you apply.
What’s the difference between a bridging loan and a mortgage?
A mortgage is a long-term loan for buying a property, while a bridging loan is short-term finance to cover a gap between selling and buying. Mortgages take longer to arrange but offer lower rates, while bridging loans are faster and more flexible.
Do I need to sell my current home to repay the bridging loan?
Not always. While most home movers repay the bridging loan when their property sells, others may refinance into a standard mortgage instead. Your exit strategy (repayment plan) must be clear before you take out the loan.
Are bridging loans regulated?
Yes – most residential bridging loans in the UK are regulated by the Financial Conduct Authority (FCA), offering you protection and ensuring transparent lending practices. It’s important to work with a reputable, FCA-authorised broker.
How can Liddle Perrett help with bridging loans?
At Liddle Perrett, our experienced mortgage brokers can assess your circumstances, explain how bridging loans work, and find the most suitable lender and terms for your move. We handle the details, so you can focus on making your next home move stress-free.
Disclaimer
For advice and guidance on your residential mortgages drop a member of our team a line, and we can take a look at your personal circumstances and help you find the best mortgage and protection products to suit your needs.
Liddle Perrett Ltd is an appointed representative of PRIMIS Mortgage Network. PRIMIS Mortgage Network is a trading style of First Complete Ltd which is authorised and regulated by the Financial Conduct Authority.
The information contained within was correct at the time of publication but is subject to change.
YOUR HOME MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON YOUR MORTGAGE