Bridging Loan Calculator: Work Out Your Costs
Bridging Loan Calculator: Work Out Your Costs. Fast bridging finance when you need to move quickly. Settle in 24-72 hours with private lenders.
Bridging Loan Calculator: Work Out Your Costs
24-hour settlement possible for urgent situations. When you need bridging finance fast, private lenders offer the speed and flexibility that banks simply cannot match.
Bridging loans fill the gap between buying your new property and selling your existing one — or any situation where you need short-term property finance quickly.
What Is Bridging Finance?
Bridging loans are short-term secured loans designed to "bridge" a financial gap, typically between:
- Buying a new property before selling your current one
- Settlement dates that don't align
- Bank finance delays when settlement is approaching
- Auction purchases requiring quick settlement
- Any urgent property purchase where timing is critical
Unlike traditional bank loans that take weeks to approve, private bridging loans can settle in as little as 24-48 hours.
Why Speed Matters in Bridging Finance
In property transactions, timing is everything:
| Situation | Risk Without Fast Finance |
|---|---|
| Found dream home | Someone else buys it while you wait |
| Auction win | Can't settle in 28-42 days |
| Settlement approaching | Lose deposit (typically 10%) |
| Bank delayed | Vendor rescinds contract |
| Extension denied | Forced to settle or forfeit |
The cost of delay can be catastrophic. Losing a 10% deposit on an $800,000 property = $80,000 gone. Fast bridging finance is insurance against this risk.
Fast Bridging Loan Terms
Typical Terms
| Component | Typical Range |
|---|---|
| Interest Rate | 10% - 15% p.a. |
| Establishment Fee | 1.5% - 3% |
| LVR | Up to 75-80% |
| Term | 1 - 12 months |
| Interest | Capitalised (added to loan) |
| Exit | Sale of property or refinance |
What Affects Your Rate
- LVR — Lower loan-to-value ratio = lower rate
- Property type — Standard residential gets best rates
- Location — Metro properties preferred
- Exit clarity — Clear sale or refinance path
- Timeline — Shorter, urgent deals may attract premium
How Fast Bridging Works
Step 1: Quick Application (5 Minutes)
Provide basic details:
- Properties involved (buying/selling)
- Values and any existing mortgages
- Settlement dates
- Amount needed
Step 2: Indicative Terms (Hours)
Receive indicative offer including:
- Interest rate
- Fees
- LVR
- Settlement timeframe
Step 3: Valuation (24-48 Hours)
- Desktop valuation often sufficient for metro properties
- Full valuation if required can be fast-tracked
- Some lenders accept recent bank valuations
Step 4: Approval & Settlement (24-72 Hours)
- Formal approval issued
- Loan documents prepared
- Settlement arranged
- Funds disbursed
Total time: As little as 2-3 business days. Urgent cases can be faster.
Common Bridging Scenarios
Scenario 1: Buy Before You Sell
You've found your next home but haven't sold yet. You need funds for the new purchase deposit and settlement.
Solution: Bridging loan secured against your current property. Repay when your property sells.
Scenario 2: Settlement Gap
You're selling and buying but settlement dates don't align — you settle on your purchase 3 weeks before receiving funds from your sale.
Solution: Short-term bridging to cover the gap. Interest only charged for actual days used.
Scenario 3: Bank Finance Delayed
Your bank approval is taking longer than expected and settlement is in 2 weeks.
Solution: Fast bridging to meet settlement. Refinance to bank once their approval comes through.
Scenario 4: Auction Purchase
You've won at auction and need to settle in 28 days. Your bank can't move that fast.
Solution: Bridging finance settles in time. Refinance to bank afterward.
Scenario 5: Extension Denied
The vendor won't extend settlement and your finance isn't ready.
Solution: Emergency bridging to settle on time and protect your deposit.
Bridging Loan Costs
Understanding Total Cost
A typical bridging loan cost breakdown:
Example: $500,000 bridging loan for 3 months
| Cost Component | Amount |
|---|---|
| Interest (12% p.a. x 3 months) | $15,000 |
| Establishment fee (2%) | $10,000 |
| Legal/valuation | $2,500 |
| Total cost | $27,500 |
Is It Worth It?
Compare the bridging cost to:
- Losing your deposit (often 10% = $50,000-$100,000+)
- Missing out on your dream property
- Rental costs if you have to move twice
- Market movements if you have to buy later
For most people, $20,000-$30,000 in bridging costs is far less than the alternative.
Bridging vs Bank Loans
| Factor | Bank Bridging | Private Bridging |
|---|---|---|
| Approval time | 2-4 weeks | 24-48 hours |
| Settlement | 1-2 weeks after | 24-72 hours |
| Interest rate | 6-9% | 10-15% |
| Flexibility | Limited | High |
| Documentation | Extensive | Streamlined |
| Best for | When you have time | Urgent situations |
Private bridging costs more but delivers when timing is critical.
What You Need for Fast Approval
Essential Information
- Properties involved — Addresses, values, existing loans
- Your situation — Why you need bridging, timeline
- Exit strategy — How you'll repay (sale, refinance)
- Basic financials — Income overview (full docs not always needed)
What Speeds Up Approval
- Clear property title
- Recent valuation or sales evidence
- Signed sale contract (if selling)
- Signed purchase contract
- Your solicitor's details ready
Frequently Asked Questions
How quickly can I get a bridging loan?
With private lenders, approval can come within 24 hours and settlement within 48-72 hours for straightforward deals. Urgent cases may be faster.
Do I need to have sold my property first?
No. Many bridging loans are specifically for buying before you sell. You can get finance secured against your current property before it's sold.
What if my property doesn't sell?
This is why exit strategy matters. Options include:
- Price reduction to achieve sale
- Refinance to longer-term loan
- Sell other assets
- Extend bridging term (fees apply)
Good lenders will discuss exit scenarios before approving.
Can I get bridging with an existing mortgage?
Yes. The bridging lender can either:
- Take second mortgage behind your existing loan
- Pay out your existing loan and take first mortgage
- Most prefer first mortgage position for better rates
What LVR is available?
Typically up to 75-80% of property value. Some lenders go higher with strong exit strategies.
Get Fast Bridging Finance Today
When timing is critical, you need bridging finance that moves as fast as you do.
Introducr connects you with verified private bridging lenders who specialise in fast settlements. Post your deal and receive offers within hours.
- Approval in 24-48 hours
- Settlement in 48-72 hours
- Rates from 10% p.a.
- LVR up to 80%
Don't risk losing your property or deposit. Get fast bridging finance now.
Important: Metro Locations Only
Our lenders fund properties in major Australian metro areas only:
- Sydney metro (within 25km of CBD)
- Melbourne metro (within 25km of CBD)
- Brisbane metro (within 20km of CBD)
- Perth metro (within 20km of CBD)
- Adelaide metro (within 15km of CBD)
- Gold Coast and Canberra
Regional and rural properties are not funded.
Best Rates for Low LVR
| Your LVR | Typical Rate |
|---|---|
| 50% or less | 8-12% p.a. |
| 50-65% | 10-14% p.a. |
| 65-75% | 12-16% p.a. |
Metro location + 50% LVR = best rates from 8% p.a.
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