The short answer is yes. Yes, you can. Whether you’re buying or selling a business or commercial property, delays resulting from the property transfer process can lead to cash flow issues. Property transfers can be a complicated and lengthy process and it can take months before you actually have the money. Luckily there are ways to help you through this process. A property bridging loan can be used for commercial property as well and is a good option if you need money immediately.
Fast and Hassle Free
This is one of the biggest benefits of a property bridging loan. If you are an investor or entrepreneur you want to move quickly and make sure you can get a move on with the transaction process as soon as possible. With a bridging loan, you do not need to wait for months on approvals and go through the whole tiring and overwhelming process.
You will even receive a response within 48 hours so you will know pretty quickly whether your loan has been approved or not. You will get your funds within 30 days when all the documents requested have been provided and once you receive your funds your business cash flow is immediately improved by approximately 30% which will have a positive financial effect on your property as you can make the necessary changes and improvements you want instead of waiting.
How Can this be Useful?
A property bridging loan can be used if you are buying a new business, commercial property, or part commercial/residential property. You can use property bridging for property purchase, property development, and improvement. You can also use property bridging to improve your credit profile and if you cannot wait any longer for the funds and need the money immediately.
Just like residential bridging, commercial bridging loans can also be useful at property auctions or when the property chain gets broken. It can also be a more convenient and easier way of getting the funds you need especially if you can just apply online. Commercial property includes warehouses, shopping centers, factories, hotels, student accommodation, office blocks, and apartment blocks.
Property bridging finance in South Africa will facilitate your cash flow strategy with an Interest Only Mortgage Loan. If you have owned retail, office, and industrial property for more than 3 years you can get an Interest Only Commercial Property Loan and an Interest-Only Industrial Property Loan. At property bridging loans the commercial mortgage refinances packages can be renewed at the end of each 5-year term. To secure a mortgage bond interest only, will require the same application process as a normal bond application and is a much quicker process.
Commercial bridge loans can be used for many types of properties. When your project is completed, you as the borrower can sell the property for profit, or the loan can be refinanced into permanent financing, allowing you to continue to own the property.