Bridging Loan: 67.5%LVR First Mortgage Mittagong NSW 2576

A Bridging Loan in NSW is often required when timing matters more than anything else. In this recent transaction, Innovate Funding assisted a client in securing a time-critical bridging loan in New South Wales, allowing them to proceed with a property transaction without delay. This case study highlights how the right loan structure and lender selection can make all the difference.

The Scenario

The client was an experienced property owner who needed short-term funding to bridge the gap between an upcoming purchase and the expected sale of an existing property.

The transaction was time sensitive, with settlement deadlines approaching quickly. Traditional lenders were unable to meet the required timeframe, prompting the client to seek a private bridging loan solution.

The Challenge

The key challenges included:

• A tight settlement window

• The need for short-term finance only

• Ensuring the loan was structured correctly based on its purpose

• Avoiding unnecessary delays caused by traditional bank processes

The client required certainty of funding and a clear path to exit within a short timeframe.

The Solution Structured by Innovate Funding

Innovate Funding assessed the scenario and identified that the loan was best structured as a non-consumer, business-purpose bridging loan, allowing for a faster and more flexible approval process.

Key elements of the structure included:

• Short-term bridging finance secured against residential property

• Conservative loan-to-value ratio

• Interest structured to suit the short holding period

• Clear exit strategy via sale of an existing asset

Innovate Funding sourced a suitable NSW private lender and managed the transaction from submission through to settlement. The Deal:

• Interest Rate: 9.25%

• Loan Amount $877,500

• LVR 67.5%

• Term 3 months

• Area: Mittagong NSW 2575

The Outcome

The bridging loan was approved quickly once the structure and exit strategy were confirmed.

Key outcomes:

• Approval achieved within days

• Settlement completed well within the required timeframe

• Client able to proceed with their purchase without disruption

• No requirement for full financials due to the business-purpose structure

The client successfully bridged the gap and proceeded toward their planned exit strategy.

Why This Matters for Borrowers in NSW

This case demonstrates that:

• Bridging loans are not one-size-fits-all

• Correctly classifying a loan as consumer or non-consumer is critical

• Private lenders can move significantly faster than traditional banks

• Working with a specialist broker reduces risk and delays

For borrowers facing tight deadlines, the structure of the loan is just as important as the lender itself.

How Innovate Funding Assists With Bridging Loans

Innovate Funding assists clients across New South Wales by:

• Assessing whether bridging finance is consumer or non-consumer

• Structuring loans with clear exit strategies

• Accessing a wide panel of private and non-bank lenders

• Managing time-critical approvals and settlements

Each transaction is tailored to the client’s circumstances, timeline, and objectives.

Considering a Bridging Loan in NSW?

If you are facing a time-sensitive property transaction or need short-term funding while transitioning between assets, a bridging loan may be suitable.

Innovate Funding assists borrowers in New South Wales with both consumer bridging loans and non-consumer, business-purpose bridging finance, ensuring the structure aligns with the transaction from day one. Contact Innovate Funding to discuss your bridging loan requirements.