Why Choose Auction Finance for Your Property Purchase?
Purchasing properties at auction can be a lucrative investment opportunity, however, it requires quick access to funding to meet tight deadlines. Auction finance from Bridgemore Capital provides the fast, flexible funding you need to act quickly in a competitive auction environment. With typical auction completion deadlines of just 28 days, traditional financing may not be adequate. Financing an auction property through our bridging loans allows you to complete the purchase on time, without the usual delays.
How Does Our Auction Finance Work?
Securing property auction finance through Bridgemore Capital is a straightforward process designed to keep things moving quickly:
- Pre-Qualification. Before the auction, you can get pre-qualified for auction finance. This helps you know exactly how much funding is available to you, allowing you to bid confidently and stay within your budget.
- Winning the Auction. Once you win the auction, Bridgemore Capital will release the necessary funds to complete the purchase. The financing is arranged quickly to meet the usual 28-day completion deadline.
- Completion. The funds are transferred to the auction house to secure the property. With auction finance, you won’t have to worry about missing out on your purchase due to financing delays.
- Refinancing or Long-Term Financing. After the auction, you can choose to refinance with a longer-term mortgage or another financial product. This step is often ideal for investors looking to retain the property as a rental asset or sell it for a profit.
- Flexible Repayment Options. Once the property is secured, repayment terms are flexible. You can work with us to select the best option for your investment needs, whether you plan to refinance or sell the property.
The BRRR Strategy and Auction Finance
For property investors looking to build and expand their portfolios, auction finance combined with the BRRR strategy (Buy, Refurbish, Refinance, Rent) can be a powerful tool. With this approach, you begin by using auction finance to quickly secure under-market-value properties at auction. Once you’ve obtained the property, you can add value by making improvements, increasing its overall worth.
After the property’s value increases, you can refinance it with a standard mortgage or long-term financing based on its higher value. Finally, once the property is refurbished and its value maximised, you can rent it out to generate a steady income stream. This strategy enables you to recycle your capital, facilitating faster growth of your property portfolio.
Secure Property Auction Finance Today
Financing an auction purchase can be a daunting process, but auction finance makes it easier. Whether you’re purchasing a residential or commercial building, Bridgemore Capital provides quick, reliable funding to secure your purchase. For more information on how we can finance an auction purchase, get in touch with us today.
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