Our client was a single applicant based in Scots Gap, Northumberland, who owned a substantial 11-bedroom residential property set within approximately 24 acres of land and valued at around £2 million.
Area: Scots Gap, Northumberland
Capital Raised: £900k
Date: 2018
Our client was a single applicant based in Scots Gap, Northumberland, who owned a substantial 11-bedroom residential property set within approximately 24 acres of land and valued at around £2 million.
The client was a self-employed property developer who had previously sold software companies for approximately £4.5 million before investing heavily in refurbishing his current residence to a high standard.
At the time of the application, the property was already on the market and under offer, with a sale expected to complete in due course.
The client required funding to purchase a new property under strict time-sensitive conditions.
His objectives were:
The purchase required urgent completion in order to secure the agreed discount, making speed and certainty critical throughout the transaction.
This case involved several important considerations that required fast action and careful lender selection.
The transaction represented a classic chain-break scenario, where the client needed to complete the new purchase before the sale of the existing property had finalised. In addition, the client required a substantial loan of approximately £900,000 within a relatively short timeframe.
The purchase opportunity itself was highly time-sensitive, as the discounted price depended on the client completing the purchase quickly as a cash buyer. The proposed repayment strategy also relied on the successful sale of the existing high-value rural property.
Traditional mortgage options were unsuitable due to the urgency involved and the reliance on a future property sale for repayment.
We arranged a tailored regulated bridging loan designed specifically to provide immediate access to funds while awaiting completion of the property sale.
The funding solution included:
The lender selected provided both competitive terms and the ability to complete quickly within the required timeframe.
The structure enabled the client to proceed as a cash buyer while maintaining flexibility around the sale of the existing property.
Given the time-sensitive nature of the transaction, proactive management and efficient communication were essential throughout the process.
We carried out a detailed assessment of the client’s overall asset position, equity levels, and proposed exit strategy before structuring a bridging facility capable of supporting the high-value purchase.
A suitable lender was sourced that could accommodate the chain-break scenario while also moving quickly enough to secure the discounted purchase opportunity. The facility was aligned carefully with the confirmed sale process already underway on the existing property.
Throughout the transaction, communication between all parties was managed closely to ensure the funding completed smoothly and within the required timescales.
The bridging loan completed successfully, enabling the client to complete the purchase as a cash buyer and secure the discounted property price.
As a result, the client was able to:
Conclusion:
This case highlights how bridging finance can provide fast and flexible solutions for high-value property purchases where timing is critical, particularly in chain-break situations.
By focusing on asset value, equity position, and exit strategy, bridging lenders can deliver funding solutions that allow clients to act quickly and secure opportunities that traditional mortgage products may not be able to support.
