How Long Do You Get to Pay Back a Bridging Loan?

If you’re considering short-term finance to secure a property, you’re likely asking: how long do you get to pay back a bridging loan? It’s a fair question, especially when time-sensitive transactions such as auctions, chain breaks or refurbishments are involved. Understanding the typical repayment terms, how loan lenders assess your financial situation, and what repayment strategies work best can make or break your planning.

The article is updated as of June 9, 2025

Bridging loans are a form of short-term secured borrowing and may not be suitable for everyone—failure to repay on time can result in the loss of your property.

Bridging loans are available by referral only

What Is the Repayment Term of a Bridging Loan?

Bridging loans are designed as short-term loans. Most commonly, bridging loan repayment periods range from 3 to 12 months, though some lenders offer terms up to 24 months, particularly for commercial or development projects.

Bridging Loan Duration UK: A Quick Overview

• Residential bridging loans: Typically up to 12 months
• Commercial property bridging loans: Up to 24 months
• Auction finance: Often repaid within 6 months

Bridging finance providers may offer either open or closed bridging loans. In a closed bridging loan, the repayment date is fixed from the outset, often because the exit strategy is clear—such as a property sale already agreed upon.

How Long Can You Have a Bridging Loan?

Most lenders approve bridging loans for a period of time between 6 and 12 months, depending on the purpose and exit plan. This type of loan is ideal for buyers needing quick funds to bridge the gap between transactions, such as a property for sale not yet completed.

Having a solid exit strategy—like a remortgageRefinancing an existing mortgage with a new mortgage. exit strategy or a house sale—is essential. Your loan agreement will clearly define the loan balance, monthly interest charges, and any repayment charge in case of early settlement.

Understanding Bridging Loan Terms and Conditions

Monthly Interest Payments and Loan Rates

Most bridging loans are structured as interest-only loans, with either monthly payments or rolled-up interest. Loan rates are typically higher than those of traditional mortgage loans, but repayment is quicker. Use a bridging loan calculator UK to estimate the exact bridging loan cost including fees of bridge financing, such as valuation fees, legal fees, and lender facility fees.

Additional Security and Loan Costs

The loan is usually secured against your security property—whether it’s your current property, an investment property, or a development property project.

In some complex circumstances, lenders might require additional security or assess your outstanding mortgage and other debts. Lenders will look at your monthly income, proof of income, and sometimes conduct credit checks—although some bad credit bridging loans are available for those with adverse credit.

Repayment and Exit Strategy

When Do You Have to Repay a Bridging Loan?

Repayment is typically required at the end of the loan term. If you’ve opted for a rolled-up loan, the lump sum paymentwill include all accumulated interest.

Exit Plan Options

• Property sale
• Refinancing to a traditional mortgage
• Securing a buy-to-let mortgage
• Switching to long-term funding (if you’re unable to sell)

Delays can affect your loan approval process and increase your bridging costs, especially if you don’t have a contingency fund. Be cautious of any exit penalty listed in the loan terms.

Key Bridging Finance Repayment Options

1. Cash buyer exit: Ideal for auction purchases
2. Mortgage bridging loan: Requires formal mortgage application
3. Refurbishment loans: Used by property developers to add value before selling
4. Business bridging loan: Tailored for Limited Companies

Lenders assess your loan criteria based on financial circumstances, credit issue history, and the type of transactionyou’re involved in.

Regulated vs Unregulated Bridging Loans

• Regulated loan: Applies when the security is your main residence. It is FCA-supervised.
• Unregulated loan: Used for investment purposes or commercial mortgage options. Offers greater flexibility but fewer consumer protections.

Check your approach to lending carefully—reputable lenders will make their application process transparent and fair.

FAQs: How Long Do You Get to Pay Back a Bridging Loan?

How long is a bridging loan for?

Usually between 3 to 12 months. For larger or commercial deals, it can extend to 24 months.

Can I pay off a bridging loan early?

Yes. You may incur a repayment fee or enjoy interest savings, depending on your loan agreement.

Are bridging loans suitable for bad credit?

Some alternative lenders offer solutions for those with bad credit or adverse credit. Consult a loan broker to find suitable borrowing options.

Is income required?

Some bridging lenders may not need regular income proof if your security property has strong equityThe difference between the value of the property and the amo... and your exit planis viable. Others require proof of income or monthly income.

What are the fees?

You’ll pay for valuation fees, legal checks, lender charges, and sometimes initial decision costs. Always check the cost of borrowing and ensure your documents are ready for a quick turnaround.

Professional Advice from Experienced Brokers

Whether you’re planning a quick sale, managing a property transaction, or arranging refurbishment finance, expert help makes a difference.

See more about independent financial advice and bridging loan guides.

For women-focused financial advice, visit The Finance Woman. You can also explore options for switching mortgage deals to suit your needs post-bridging.

Need Help Understanding Bridging Loan Timeframes?

If you still have questions like how long do you get to pay back a bridging loan, or want help structuring your loan on time, we’re here to help.

We can support you through:

• Finding a reliable bridging loan broker
• Matching you with a professional bridging loan service
• Creating a realistic exit strategy

Available from 10pm – 7 days. Contact our expert team today at Needing Advice to keep your transaction on track.

We provide personal, honest advice tailored to your individual circumstances, whether you’re navigating long-term finance, a delicate situation, or seeking fast property purchase loan options.