Commercial Bridging Loans from $200k to $50m+

Yes, commercial bridging loans are ideal for auction purchases in Australia. We can often arrange pre-approval before auction day, with formal approval typically within 48-72 hours of winning the bid. Most bridging lenders can settle within 7-21 days, meeting standard auction settlement terms. Talk to our team to see if you qualify and to get more information.

If this happens, you’ll need to either find another buyer quickly, refinance to a standard commercial property loan, or sell a different asset. Most bridging lenders offer 3-6 month extensions if needed, though you might find your rates increase. It’s always important to have a backup exit strategy in place before you take on bridging finance. Our team can assist you work out the best way forward, and ensure you have the right plans in place from the outset. 

Yes you can, so long as you have sufficient equity in other properties or assets. Our lenders will assess your total security position and exit strategy. You’ll typically need an LVR below 65% across all securities, and a clear refinance or capital raising plan, things that our team can help you prepare.

Not normally because bridging finance is for property-secured short-term lending only. If you’re having cash flow headaches you’re best options is likely going to be invoice financing. That said, if you have property equity you’re willing to tap into, you could use bridging as emergency working capital solution. It’s really about understanding the pros and cons of different options. 

Yes, developers often use bridging loans from our lenders to secure sites quickly, before then arranging for construction finance. You’ll need clear development plans, and ideally DA approval in process. Be prepared to pay slightly higher rates (1.0-1.5% monthly) due to the increased risk.

While exact costs will vary, you can use this as a guide:

• monthly interest (0.65-1.5%)
• establishment fee (1.5-2.5% of loan)
• valuation fees ($1,500-5,000)
• legal fees ($2,000-5,000)
• exit fees (usually none). 

So for example, on a $1M bridge for 6 months at 0.95% monthly, expect total costs around $80,000-90,000. You can use our handy calculator on this page to work our your specific costs. 

Yes, your exact rates will vary based on LVR, loan size, the clarity of your exit strategy, and your experience.

With strong applications and clear exits with lower LVRs (under 60%), we can often negotiate 0.1-0.3% monthly reductions from lenders on your behalf as your commercial finance broker.

You have the option to choose either a monthly payment, to capitalise the interest (added to loan), or prepay the interest. We find most borrowers choose to capitalise to preserve their cash flow, though this increases total cost. You should also consider the tax implications of these options. 

Yes. If your finance has fallen through or you need more time to sell existing property, bridging finance might be the right option for you. The completed value provides security. You’ll need to have the contract, and evidence of imminent completion. Most lenders require settlement within 3 months.

The primary risks of commercial bridging loans include:

• property not selling quickly enough
• selling for less than expected,
• refinance falling through
• interest accumulation eating into profits

Our team can help you prepare a cash flow forecast and exit strategies to help avoid these potential outcomes. 

Most of our bridging loans have no early repayment penalties after the first month. Some require 3 months minimum term. You can exit as soon as your property sells or refinance is ready (see our commercial property refinancing loans). The flexibility is a key advantage.