Residential Repossession
You need to understand that a bank, mortgage provider or even secured loan lender does not want to repossess your home. With the added work load of filing for everything through the courts, eviction notices, reselling the house, they prefer for you to try to get up to date on payments or clear the full if possible. You can do this with a bridging loan for us.
Using A Bridging Loan
The simplified solution. A bridge is secured against the property under threat. This is then used to pay off the mortgage, remortgage or secured debts. Once you are free of the longer term finance, you can either put the house on the market to sell, or find a new mortgage provider to clear the short term funding with no early repayment or exit fees.
Commercial Repossesison
We have specifically designed funding option for business use, all of which could be used to help stop a commercial or investment property repossession. It would all depend on how much you have in outstanding secured debt and how much equity you have in your home. Second charge bridging available with as much as 9% loan to value available.
Help to avoid home repossession!
At any point during the repossession phase, it should be possible to come to some sort of solution with the company, bank or lender that has been forced to go down the route of forcing through a repossession order. Make no mistake, they are only doing it as a last resort. They are, unfortunately, a business and cannot run at a loss.
If you are able to offer to pay off the full outstanding amount, even at the last minute, or after a decision has been given by the courts for the repossession to go through, it can be stopped. If you have enough equity in a property, which needs to be at about forty to forty five percent, and are able to afford the repayments, we should be able to offer you a bad credit funding solution to pay off the whole mortgage and buy yourself up to one year to sell the property or find a new mortgage provider.
Important news update:
Brand new bridging loan product. A second charge borrowing facility, like a bridging loan except with a minimum loan value of just £10,000.00. Medium or long term repayment plans available. As far as we are aware, we are the first lender in the UK to offer such a low borrowing threshold.
Read more about the new 2nd charge bridging finance here!
Finding a new longer term finance provider would be your best option of clearing the large bridging loan as because you would probably get a twenty five yuear mortgage, your repayments would be made smaller simply because you are borrowing a smaller amount than your original mortgage which you defaulted on.
Howeve,r if you decide to sell the home, you should end up with more than enough cash in bank for a deosit to find a new home as we only fund people that have more than 40% equity in their home. So for example, if your house is worth one hundred thousand pounds we bridge you sixty thousand pounds and you sell for full market value, you end up with the diffeence (forty thousand pounds) instead of the house being repossessed and ending up with nothing.