Welcome to Pyxis Capital’s comprehensive guide on bridging loans offered by high street banks. As a leading brokerage authorised and regulated by the Financial Conduct Authority, Pyxis Capital is committed to providing you with expert advice and assistance in navigating the complex world of finance.

Are all high street banks bridging loan providers?

While many high street banks do offer bridging loans, it’s important to note that not all of them provide this service. Some banks specialise in various types of lending, and bridging finance may not be their primary focus. However, several well-known banks do provide bridging loans as part of their product offerings. To find out which High Street Banks can offer the bridging loan that is right for you, contact the team at Pyxis Capital today – we will discuss your requirements and find the bridging loan solution for you.

What types of bridging finance can banks offer?

High street banks can offer a number of types of bridging loan, including:

Residential Bridging Loans: High street banks offer residential bridging loans to individuals seeking short-term financing solutions for residential properties. These loans are commonly used to bridge the gap between property transactions, enabling borrowers to purchase a new home before selling their existing one. With competitive rates and flexible terms, banks cater to the diverse needs of homeowners and property investors.

Commercial Bridging Loans: High street banks also provide commercial bridging loans tailored to the needs of businesses and investors in the commercial real estate sector. These loans are secured against commercial properties such as offices, retail spaces, or industrial units.

Land Bridging Loans: Available to individuals and developers looking to purchase or refinance land for development purposes, land bridging loans are secured against the value of the land and can be used to fund site acquisitions, infrastructure development, or other land-related projects.

Business Bridging Loans: These loans cater to the short-term financing needs of businesses across various industries. With quick approval processes and flexible terms, business Bridging Loans be used to address cash flow gaps, finance expansion projects, or seize time-sensitive opportunities.

Auction Bridging Loans: High street banks offer auction bridging loans to individuals and investors participating in property auctions. These loans provide quick access to funds to facilitate successful auction purchases, enabling borrowers to secure properties with confidence.

Farming & Agricultural Bridging Loans: Banks also provide farming and agricultural bridging loans to support farmers and landowners in the agricultural sector. Farming Bridging loans can be used to fund agricultural land purchases, equipment acquisitions, or other farm-related expenses.

Bridge to Let Loans: High street banks offer bridge to let loans to property investors looking to acquire properties for rental purposes. Buy to let bridging loans bridge the gap between property purchases and longer-term financing solutions such as buy-to-let mortgages.

Bridging Loans for Bad Credit: Banks also provide bridging loans for individuals with less-than-perfect credit histories. Bad credit Bridging Loans offer short-term financing solutions for borrowers who may have difficulty accessing traditional financing options due to credit issues.

100% Bridging Loans: High street banks offer 100% bridging loans to borrowers seeking to finance the entire purchase price of a property or project. These loans provide full funding without requiring a deposit or additional security, enabling borrowers to proceed with their transactions without the need for upfront capital.

Second Charge Bridging Loans: These loans are secured against a property that already has a mortgage or another form of borrowing secured against it. Second Charge Bridging Loans are often used when additional funds are needed and the existing mortgage lender is unwilling or unable to provide further borrowing.

How much does a high street bank bridging loan cost?

The cost of a bridging loan from a high street bank can vary depending on various factors, including the loan amount, loan term, and the borrower’s creditworthiness. Banks typically charge arrangement fees, interest rates, and potentially exit fees. It’s essential to carefully review the terms and conditions of any loan offer to understand the full cost involved.

Why should I use a broker when seeking bridging finance?

Using a broker like Pyxis Capital can offer several advantages when seeking bridging finance from high street banks. Brokers have access to a wide range of lenders and products, allowing them to find the most competitive rates and terms for your specific needs. Additionally, brokers can provide expert advice and guidance throughout the application process, helping you navigate any complexities and ensuring that you secure the best possible deal.

If you want to hear about the latest products that high street lenders have to offer, get in touch with the Pyxis Capital team today and one of our experts will be on hand to talk you through the process, helping you take the next steps when you are ready. Contact us now.

Bridging Loan Frequently Asked Questions

Do I have to be a banking customer to get a bridging loan?

No, you do not necessarily have to be an existing customer of a bank to obtain a bridging loan from them. However, being a customer may sometimes offer certain benefits or streamlined processes.

Does bridging finance from banks have less risk?

Bridging finance from banks may be perceived as lower risk due to the reputation and stability of these institutions. However, all forms of lending carry some level of risk, and it’s essential to carefully consider your own financial circumstances and ability to repay the loan.

Will banks offer better rates than specialist lenders?

While banks may sometimes offer competitive rates, specialist lenders often cater to specific niches and may provide more tailored solutions for certain borrowers. Pyxis Capital can help you compare rates and products from both banks and specialist lenders to find the best option for you.

What’s the difference between regulated and unregulated bridging loans?

Regulated bridging loans are typically secured against residential properties and are subject to regulation by the Financial Conduct Authority (FCA). Unregulated bridging loans, on the other hand, are often secured against commercial properties or land and may not be subject to the same level of regulatory oversight. It’s important to understand the differences between the two and seek professional advice to ensure compliance with relevant regulations.

Get in touch with Pyxis Capital today

The team here at Pyxis have a wealth of knowledge when it comes to helping our clients find the bridging loan they need. The fact that, as a reputable broker, we have access to an extensive panel of lenders means that we can usually find the best available solution for you.

So, no matter whether you are looking for a bridging loan to purchase a new property or as a way of completing a redevelopment project, we are here to help. For more information on our extensive range of financial services, contact us today, alternatively, complete our quick and easy Bridging Loan Calculator to find out exactly how a Bridging Loan may look for you.