AF Credit · Residential Finance

Residential
Bridging Loans

Fast, flexible short-term finance secured against residential property. Break a chain, buy before you sell, or fund a property that won't qualify for a standard mortgage.

Loan range
£26k–£2m
Max LTV
75%
Rates from
0.79%/mo
Term
3–24 months
What is it?

Short-term finance for residential property.

A residential bridging loan is a short-term, secured loan that gives you fast access to capital when a standard mortgage is too slow, unavailable, or simply the wrong tool for the job. It is secured against residential property and typically runs for 3 to 24 months — long enough to complete your transaction, refurbish the asset, and arrange your long-term exit.

Unlike a traditional mortgage, interest on a bridging loan is usually retained — rolled up and repaid at the end of the term alongside the capital — so there are no monthly repayments to manage while the loan is live. This makes bridging finance particularly suited to situations where cash flow needs to remain free: breaking a property chain, purchasing an uninhabitable property before refurbishment works begin, or completing a buy-to-let acquisition at speed before a competitor does. Residential bridging loans are available on first and second charge basis across England and Wales, with rates from 0.79% per month and loans from £26,000 to £2 million.

1

Secured against residential property

Houses, flats, HMOs, uninhabitable properties and more — across England and Wales.

2

Interest rolled up

No monthly payments. Interest accrues and is repaid when you exit — by selling or refinancing.

3

No valuation options

Eligible properties can be funded using AVM or desktop valuation — saving weeks and upfront costs.

4

First and second charge

We can lend in first or second charge position depending on your situation.

Use cases

Who uses residential bridging loans?

Residential bridging finance is used across a wide range of property scenarios where speed, flexibility, or the condition of the property rules out a standard mortgage. Here are the most common situations we fund.

Buying before you sell

Found the perfect property before your current home has sold? Bridge the gap now, complete the purchase, and repay the loan in full when your sale completes. No chains, no waiting, no missed opportunities.

Uninhabitable property purchase

Standard mortgage lenders require a working kitchen and bathroom. Bridging finance carries no such restriction, enabling you to purchase a derelict or uninhabitable property and fund a refurbishment before refinancing.

Probate purchase

Move quickly on a probate or estate property sale where beneficiaries want a fast, clean transaction. Bridging finance can complete in days, often ahead of competing buyers using slower mortgage finance.

Downsizing

Secure your new, smaller property before your larger home is sold — without the pressure of a simultaneous exchange. Repay the bridge from the proceeds of the sale when it completes at a time that suits you.

Capital raising

Release equity quickly from a residential property you already own to fund another purchase, a property auction acquisition, or a business requirement. Second charge bridging is available alongside an existing mortgage.

Lending criteria

Residential bridging loan criteria at a glance

Every enquiry is assessed on its individual merits. The table below outlines our standard parameters for residential bridging loans in England and Wales.

Maximum LTV 75% of open market value
Rates from 0.79% per month
Loan range £26,000 – £2,000,000
Loan term 3 – 24 months
Interest method Retained (rolled up and repaid at exit)
Charge position First or second charge
Property location England and Wales
Adverse credit Considered on a case-by-case basis
Bridging vs mortgage

How residential bridging compares to a mortgage

A residential bridging loan and a standard mortgage serve very different purposes. Understanding the difference helps you choose the right tool for your situation.

Residential bridging loan

  • ✓  Completion in days, not months
  • ✓  Flexible, case-by-case underwriting
  • ✓  Short-term: 3 to 24 months
  • ✓  Interest retained — no monthly payments
  • ✓  Lends on any condition property
  • ✓  No early repayment charges (subject to 3-month minimum)

Standard residential mortgage

  • ✗  Weeks or months to arrange
  • ✗  Rigid credit and affordability criteria
  • ✗  Long-term product: 2–30 years
  • ✗  Monthly capital and interest payments
  • ✗  Property must be in habitable condition
  • ✗  Early repayment charges often apply

Bridging finance is a short-term solution. The goal is always to exit onto a long-term product — either a standard mortgage once the property is habitable, or through a sale once refurbishment adds value. AF Credit assesses your exit strategy at the outset to ensure the loan is structured appropriately from day one.

Valuation options

Flexible valuation routes

We offer three valuation routes depending on the property type, loan size, and urgency of your transaction. Avoiding a full physical inspection can save significant time and upfront cost.

AVM (Automated Valuation)

An algorithm-driven desktop valuation using comparable sales data. The fastest and lowest-cost option — no surveyor visit required. Available on eligible properties. Learn more about AVM bridging loans.

Desktop valuation

A RICS-qualified surveyor prepares a report using comparables and available data without a site visit. Quicker than a full inspection and suitable for many standard residential properties.

Full physical inspection

A RICS surveyor visits and inspects the property in person. Required for uninhabitable or unusual properties and larger loan sizes. Provides the most comprehensive valuation evidence. Explore no-valuation options.

Our process

From enquiry to completion — fast.

1

Enquiry

Call us on 01451 514 563 or fill in our online form. We'll ask a few key questions about the property, the loan required, and your exit strategy. No obligation at this stage.

2

Same-day terms

We issue indicative terms the same day on qualifying cases — no commitment, no credit search. You'll know the rate, LTV, and key conditions before you decide to proceed.

3

Formal offer

If you wish to proceed, we instruct the valuation and issue a formal credit-backed offer. We can instruct solicitors within 12 hours of a decision, with dual representation available to accelerate legals.

4

Completion

Funds are drawn down and transferred to your solicitor. Straightforward cases can complete within 5–10 working days. We remain your single point of contact throughout.

Why AF Credit?

The residential bridging lender that moves at your pace.

We are a direct principal lender — no brokers, no committees, no delays waiting for external credit approval. Our team makes decisions in-house and communicates clearly, so you always know where you stand and what happens next.

  • ✓  Same-day indicative terms on qualifying cases
  • ✓  AVM, desktop and no-valuation options available
  • ✓  One dedicated contact throughout
  • ✓  Dual representation legals available
  • ✓  Adverse credit considered
  • ✓  No early repayment charges (subject to 3-month minimum)
  • ✓  First and second charge lending
  • ✓  England and Wales only — no referrals, no middlemen
0.79%Rates from (per month)
75%Max LTV
12 hrsInto legals
£2mMax loan
Common questions

Residential bridging FAQs

A residential bridging loan is a short-term secured loan raised against a residential property. It is used to bridge a financial gap — between buying and selling a property, breaking a chain, acquiring an uninhabitable property ahead of refurbishment, or completing a buy-to-let acquisition at speed. Terms typically run from 3 to 24 months, with interest rolled up and repaid at exit. AF Credit lends from £26,000 to £2 million across England and Wales, with rates from 0.79% per month.

AF Credit lends up to 75% of the open market value on residential property. This applies on both first and second charge basis depending on your circumstances. The actual LTV offered will depend on the property, its condition, the loan size, and the strength of the exit strategy.

Yes. Standard mortgage lenders typically require a property to have a working kitchen and bathroom. A residential bridging loan has no such restriction and can fund both the purchase and the refurbishment works. Once the property is habitable and meets standard mortgage criteria, you can refinance onto a longer-term product. You may also wish to consider our dedicated refurbishment bridging loans page for more detail on funding works.

The two most common exit strategies are: selling the security property (or another property you own) to repay the loan in full, or refinancing onto a standard buy-to-let or residential mortgage once the property is habitable and meets normal lender criteria. AF Credit assesses the credibility of your exit strategy at the enquiry stage. There are no early repayment charges, subject to a minimum interest period of 3 months.

Yes. Adverse credit is considered by AF Credit. As a direct principal lender, we take a common-sense approach to underwriting and assess each case on its individual merits. Missed payments, CCJs, and defaults are not automatic declines. The key factors for us are the property, the loan-to-value, and the credibility and clarity of the exit strategy.

Not always. AF Credit offers AVM (automated valuation model), desktop valuation, and full physical inspection routes. Eligible properties can be funded using an AVM or desktop valuation, which saves time and avoids the cost of a surveyor visit. Properties that are uninhabitable, unusual, or above certain loan thresholds will typically require a full inspection. Visit our no-valuation bridging loans page for more information.

AF Credit provides same-day indicative terms on qualifying cases. Once you decide to proceed, we can instruct solicitors within 12 hours of a credit decision. On straightforward cases with an AVM or desktop valuation, completion is often achievable within 5 to 10 working days. More complex cases involving full valuations or unusual properties may take slightly longer.

A first charge bridging loan is taken out against a property with no existing mortgage — the bridging lender holds the primary legal charge over the asset. A second charge bridging loan sits behind an existing mortgage or charge, with the bridging lender taking a subordinate position. AF Credit can lend in both first and second charge positions on residential property in England and Wales. Second charge lending is useful when you want to raise capital against a property you already own without disturbing an existing mortgage arrangement.

Related products

Explore more bridging finance solutions

Residential bridging is one of several short-term finance solutions available from AF Credit. Explore related products below.

Auction bridging loans Refurbishment bridging loans No-valuation bridging loans
Ready to proceed?

Get same-day terms on your residential
bridging loan.

Call our team or submit an enquiry online. We'll come back to you the same day with indicative terms — no obligation, no credit search at this stage.