£900,000 100% Bridging Loan to Secure Below-Market-Value Residential Investment

A £900,000 100% bridging loan enabled an experienced investor to acquire a residential investment property without introducing new capital, by leveraging equity held in an existing unencumbered asset.

The client identified a below-market-value opportunity on a multi-unit residential property in a strong rental location. The vendor required completion within 21 days due to a collapsed sale, creating a time-sensitive opportunity.

While the client had significant equity across their portfolio, available liquidity was allocated to other refurbishment projects. Rather than restructure existing mortgages or liquidate assets, the client required a 100% bridging solution to move quickly and preserve working capital.

The Challenge

Key challenges included:

• Completion required within 3 weeks

• No cash deposit available for the purchase

• Property partially tenanted, limiting mainstream lender appetite

• Need to preserve liquidity for parallel projects

Traditional lenders were unable to meet the timeframe or provide full funding without a deposit.

The Solution

Global Bridging Finance structured a cross-collateralised 100% bridging facility, secured by:

• A first charge over the investment property being acquired

• Additional security over an unencumbered residential asset owned by the client

The blended loan-to-value across both properties remained within acceptable parameters, giving the lender comfort to advance the full £900,000 purchase price.

The facility was arranged over a 12-month term with interest retained, allowing the client to manage cashflow efficiently.

Funds were released in line with the contractual completion deadline.

The Exit Strategy

The client’s exit involved:

• Light refurbishment to enhance rental value

• Stabilisation of tenancy across all units

• Refinance onto a long-term buy-to-let facility based on improved valuation

The clear and evidenced refinance route provided confidence to both lender and borrower.

The Outcome

The 100% bridging loan enabled the client to:

• Secure a discounted investment opportunity

• Acquire the property without injecting new capital

• Preserve liquidity for other developments

• Refinance once value was enhanced

This case highlights how 100% bridging finance, when structured correctly with strong supporting equity and a clear exit, can unlock opportunities that would otherwise be inaccessible.