Bridging Loans

A bridging loan is a short term, secured loan taken to ‘bridge’ the gap between the sale of one property and the purchase of another. This allows the borrower to access some of the equity in their current home as a deposit, owning two properties at once while waiting for the old one to sell. Fairly flexible, most bridging loans typically last for six months. However, some bridging loans can cover the borrower for up to twelve months and sometimes three years, depending on your individual circumstances. It is short-term financial access at high level interest.

Open and closed bridging loans

A closed bridging loan is commonly given once contracts have been exchanged and there is a defined exit strategy, that is a clear means in which the loan will be paid off by the iminent sale of the current property. This type of bridging loan tends to have a lower rate of interest since it is low risk.

An open bridging loan is typically given when one of the properties has not yet been sold. This makes the loan higher risk, and thus it is charged at a higher rate of interest.

Paying off a bridging loan

When taking out a bridging loan it is extremely important to know your exit strategy. This may be as simple as selling the property, or remortgaging. The time this takes could effect the overall amount of interest you pay.

Your property may be repossessed if you do not keep up repayments on your mortgage.
This firm usually charges a fee for mortgage advice. The amount of the fee will depend upon your circumstances and will be discussed and agreed with you at the earliest opportunity.

What are our Fees and Charges?


We will not charge you a fee for our services relating to insurance, but we will receive commission from the product provider. The commission will be calculated as a proportion of the premiums paid for the insurance product.

You will receive a quotation which will tell you about the fees and charges relating to any insurance policy that we recommend.


For our advice services we will charge no fee

We will be paid a procuration fee by the lender. The amount of the procuration fee will be disclosed to you.

You have the right to ask us to provide information on the range of procuration fees that the lenders on our panels offer to us.

If an application is submitted to a lender via a packager (a 3rd party specialist) we will be paid commission by the packager. This will be disclosed to you.

Why Aston & Co Financial Services?

At Aston & Co Financial Services we have the experience and the know-how to help you find the best bridging loan to suit you and your budget. Our friendly and professional advisors are on hand
to guide and support you in your choices. Contact us today to discuss your needs and pave the way to your happy-ever-after.