A bridging loan in Singapore is a temporary financing solution designed to help homeowners achieved a seamless transition between properties. Below, we summarize the key aspects of bridging loans, their benefits, and how a mortgage broker can help.
What is a Bridging Loan?
A bridge loan serves as a short-term financial tool that fills the gap when you’re buying a new property while waiting for the sale proceeds of your current one.
- Provides immediate access to funds for down payments or purchases.
- Helps avoid delays in securing your next property.
- Offers repayment flexibility based on your financial situation.
Terms of Bridging Loans in Singapore
Understanding the various types of bridging loans available helps you choose the right mortgage loan for your needs.
- Loan Tenor: Strictly maximum of 6 months for a bridging loan.
- Simultaneous Repayment Loan: Requires monthly repayments for the interest while waiting for the sale proceeds.
- No Standalone Bridging Loan: A Bridging Loan must be applied together with a Home Loan.
Benefits of a Bridging Loan
The advantages of a bridging loan in Singapore can make the property transition process smoother.
- Quick approval and disbursement of funds.
- Reduce stress during the buying and selling process.
- Tailored solutions to suit individual financial circumstances.
How a Mortgage Broker Can Help
Navigating the complexities of a bridging loan is easier with professional guidance:
- Helps identify the best bridge loan options
- Ensures you get favourable terms and bridging loan interest rates
- Provides advice tailored to your financial solution
Make Your Move with Confidence
A bridging loan in Singapore offers a practical solution for property transitions. Consult a trusted mortgage broker in Singapore today to explore your options and secure the best financial plan for your property journey.