How is a Bridging Loan Different to Development Finance?

How is a Bridging Loan Different to Development Finance?

Bridging loans are generally suited to smaller development projects, in that they are leveraged against existing property. Whereas development finance is usually for large-scale projects where funds are released when various stages are completed.


Bridging loans are also popular with property renovations, as they are quicker to obtain compared to traditional mortgages.

If you intend to buy a property that needs a great deal of work done to it then, a bridging could be what you are looking for – these loans have been used by property developers to refurbish a property with a view of selling the property on once the work is complete.

This tends to be a useful option for property developers as this enables them to start work on a property quickly, thus holding onto the property if it is necessary before being sold on.

A key thing to remember with any mortgage is key advice from the FCA (Financial Conduct Authority) “your home may be repossessed if you do not keep up with payments”.

Journey Mortgages is a specialist broker that can help you with bridging loans and more. Get in touch, and one of our friendly team will be happy to help you with your enquiry.

Attention: Late repayments can cause you serious money problems. For help go to


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