Completing on a property purchased at auction takes place over a 28-day timeframe, which often makes traditional finance, such as mortgages, ineffective. As a result, bridging finance is a solution that can meet this need and fund property auction purchases at speed.
We were recently approached by a client who had purchased a leasehold property in London at auction and needed to raise capital quickly to secure the premises.
This began as a fairly straightforward loan, however, it became more complicated once the valuation was completed, as a number of issues were identified including damp, structural defects, investigative works to the foundations were required, and so on. While the issues were not ultimately the responsibility of the client, they would have affected the subject property going forward.