Bridging finance for relocating

Why a short-term bridge can unlock your move

Relocating rarely runs to plan. Chains stall, sales take longer than expected and the right home or investment can appear before your funds are ready. Bridging finance steps in to cover that gap so you can act quickly and tidy up the longer-term finance afterwards.

The UK bridging market has expanded and professionalised. Lenders reported the highest quarterly volumes since late 2024, with Q3 2025 completions rising and average completion times around 41 days. That 4-6 week window is the headline benefit for movers facing auction deadlines or sellers who need to exchange quickly. Pricing has also sharpened in 2025 as competition increased and swap rates eased, with typical quoted monthly rates often between 0.64% and 0.86%, subject to credit and loan-to-value.

Scale matters for confidence. Analysts place the UK bridging loan book above £10bn and suggest it could top £12bn, reflecting wider product choice and higher maximum LTVs with some lenders up to 70-75%. Alongside classic chain-break cases, use has broadened to auction purchases, refurbishment projects and re-bridging where timelines slipped. Investors and landlords are active too, particularly where discounted stock appears and speed is decisive.

A bridge is short-term borrowing secured against property. Most exits are simple: sell your current home or refinance to a longer-term mortgage once works complete or income stabilises. Lenders expect a credible, documented exit before they approve the loan. That is good discipline for consumers, especially where the loan is regulated and your residence is involved.

Understanding APR is not the point here - it is about total pounds-and-pence over a few months, including fees and the cost of extensions if things overrun.

If you need certainty and speed to keep your move on track, bridging can be the right tool. Use it with eyes open: plan the exit, model the total cost and pick a lender with a proven 4-6 week turnaround.

Who benefits most from a bridge?

Home-movers who must buy before they sell find bridging useful to avoid chain collapses. Auction buyers rely on it to meet 28-day completion deadlines. Landlords and developers use it for light refurbishments and conversions where a buy-to-let or commercial mortgage is not yet ready. Re-bridging can suit borrowers who need more time to complete a sale.

If you are relocating to a new area for work or schooling and cannot synchronise sale and purchase dates, a regulated bridge can provide temporary funding with consumer protections. If you are acquiring or improving investment property, an unregulated bridge may be more suitable. In both cases, clarity on the exit and timescales is essential.

Your bridging options at a glance

1. Regulated residential bridge - for properties you or your family will live in.

2. Unregulated investment bridge - for buy-to-let or business purposes.

3. Second-charge bridge - raise funds against equity while keeping your current mortgage.

4. Bridge-to-let - acquire, refurbish, then refinance to a buy-to-let mortgage.

5. Auction finance - fast completions aligned to typical 28-day timelines.

6. Refurbishment bridge - light works to improve value before exit.

7. Re-bridging - extend time where original exit is delayed.

Costs, outcomes and risks in one place

Can you qualify - and what lenders expect

Eligibility rests on three pillars: the property security, your exit strategy and your profile. For relocating homeowners, a regulated bridge involves affordability checks, clear disclosure and advice standards under the FCA. Lenders will examine your current property, any purchase details and how the loan will be repaid, typically by sale or remortgage. If the plan is to sell, agents’ evidence and solicitor milestones help. If the plan is refinance, lenders expect realistic timeframes for works and proof of future income where relevant.

For investment or business purposes, unregulated bridges focus on the asset, experience and plausibility of the exit. Clean title, a satisfactory valuation and solicitor capacity to meet target dates are essential in both cases. Many lenders can consider first or second charges, with maximum LTVs often capped at 70-75% depending on property type and credit. Kandoo can help you shape the application, compare offers and set realistic completion expectations around 4-6 weeks, which is common across the market when paperwork is prepared early.

From enquiry to completion - the practical steps

1. Outline your purchase, loan amount and exit plan.

2. Share documents - ID, income, property details, timelines.

3. Receive terms in principle and confirm fee structure.

4. Instruct valuation and appoint solicitors on both sides.

5. Provide any additional information the underwriter requests.

6. Review the offer, including term, fees and conditions.

7. Sign documents and coordinate drawdown with your solicitor.

8. Complete purchase, track exit milestones and progress updates.

Advantages and trade-offs to weigh

Read this before you commit

Bridging works when your exit is realistic and timed. Map the key milestones: listing and sale stages if you plan to sell, or works schedule and refinance criteria if you plan to remortgage. Ask for written timelines from your solicitor and broker, including how they handle enquiries and searches to maintain momentum. Compare total cost scenarios at best-case and delayed exits so you understand the price of an extension. If your affordability or valuation leaves little headroom, consider a lower LTV to reduce risk. Above all, choose counterparties who demonstrate recent completions in 4-6 weeks and who will update you daily when deadlines approach.

Alternatives if a bridge is not right

1. Let-to-buy remortgage to release equity before purchase.

2. Deposit boost via family gift or family charge arrangements.

3. Development finance for heavier works beyond light refurb.

4. Short-term unsecured borrowing for small gaps with strong affordability.

5. Agreement to delay completion or negotiate a longer auction timeline.

Frequently asked questions

Q: How quickly can a bridging loan complete? A: Many cases complete in about 4-6 weeks. Well-prepared documentation and responsive solicitors can reduce the timeline.

Q: What interest rate should I expect? A: Quoted monthly rates in 2025 often range from 0.64% to 0.86%, subject to credit profile, LTV and property.

Q: What are common exit strategies? A: Most borrowers exit via sale of the property. Others refinance to buy-to-let or a residential mortgage once works or move-in are complete.

Q: Is a regulated bridge safer for homeowners? A: If you or your family will live in the property, the loan is typically regulated with FCA consumer protections, advice requirements and suitability checks.

Q: Can I secure a bridge as a second charge? A: Yes, if you have sufficient equity and your first-charge lender allows it, a second-charge bridge can release funds without redeeming your main mortgage.

Q: What happens if my exit is delayed? A: You may pay extension fees or continue monthly interest. Speak to your broker early to manage timelines or consider re-bridging if appropriate.

How Kandoo can help

Kandoo is a UK-based retail finance broker. We compare suitable bridging lenders, outline realistic completion times, and model total costs so you can decide with confidence. Tell us your purchase plan and exit, and we will assemble a competitive shortlist and manage the process alongside your solicitor to keep your move on track.

Important information

Bridging loans are secured against property and can be complex. Fees and interest accrue monthly and property values can fall. Do not borrow more than you can repay. Seek personalised advice before committing and ensure you have a credible exit within the agreed term.

Next step: speak to a broker, gather documents, and request written timelines and fee illustrations for best-case and delayed-exit scenarios.