Refurbishment bridging loans
A refurbishment bridging loan allows an investor to buy and renovate unmortgageable, neglected or low yield properties – without having to put in their own savings. As a specialist broker with access to 300+ lenders, we secure funding structured around your goals.
We can help with both purchase and short-term works. With a typical 2-3 weeks completion, refurbishment finance offers a flexible and efficient route to adding real value – ideal for auction purchases and any project requiring quick movement.
Key loan parameters
Rates and LTVs vary by project and lender. Contact us for a tailored quote.
Indicative rate
From 0.65%/mo
Max LTV (day 1)
Up to 72% NET purchase
Build cost funding
Up to 100%
Loan size
£100k – £25m
Term
1 – 24 months
Early repayment
No ERCs
Since 2004, Tiger Financial has sourced refurbishment finance for hundreds of investors, navigating a fragmented market and securing terms from a panel of 300+ lenders that borrowers are not able to access directly.
These facilities allow investors to purchase problem properties, fund works without tying up capital, move quickly on opportunities, and increase value for sale or refinance. Products offered by mainstream lenders are not designed for properties that are derelict, lack essential services, or require conversion. That’s why you need us.
Refurbishment bridging for auction purchases
Auction properties often need refurbishment before they are habitable or mortgageable, and buyers must complete within 28 days – a timeframe mainstream lenders cannot fulfil. A fast refurb bridging loan covers purchase and works, giving investors the speed and certainty required to bid confidently.
How quickly can you get funds?
Same day
Decision in principle
Days 7–14
Legal & underwriting
Days 1–3
Formal terms issued
From Day 21-28
Funds released (typically)
Days 3–7
Valuation instructed
Speed Factor
Case assessed on complexity
Interest on refurbishment funds is only charged from the point each tranche is drawn, with interest typically rolled into the loan so there are no monthly payments. Up to 70% LTGDV achievable with interest added to the facility.
Timescales depend on the complexity of the project, the property’s condition, and how quickly solicitors and valuers can be instructed. Refurbishment bridging loans typically complete in 3–4 weeks. Tiger Financial’s lender relationships mean terms can be presented to you the same day you enquire.
An explanation of a refurbishment bridging loan
A refurbishment bridging loan, arranged through lenders on our 400+ strong panel, offers:
- Short-term financing that enables the purchase of a property
- Extra finance to carry out renovation works
- Rapid and efficient project completion
This product is typically used where a property is currently un-mortgageable and requires re-branding/improvement.
Types of refurbishment finance
01 Light Refurbishment
Kitchen or Bathroom Refurbishment
Cosmetic upgrades without structural changes or planning requirements.
Redecoration
Painting, flooring, and general aesthetic improvements.
Heating, Ventilation or Electrical Works
Non‑structural upgrades to internal systems.
Replacement Windows & Doors
Like‑for‑like replacements not requiring planning consent.
Non‑Structural Room Re‑Modelling
Internal layout changes that do not affect the structure.
02 Heavy Refurbishment
Extensions
Works requiring planning permission and structural alterations.
Loft Conversions
Structural changes to roof space, often requiring building regulations approval.
Structural Re‑Configuration
Removal or alteration of load‑bearing walls or major structural elements.
New Build Elements
Construction of annexes or new structural components.
Typical structure of a refurbishment loan
The loan usually consists of the following two disbursements:
- Day one loan – based on current value of property
- Refurbishment tranche – released in tranches as works progress (usually in arrears)
Loan requirements, LTVs, experience requirements and acceptable security vary across the 400+ lenders on our panel, we’ll match your project to the lenders whose criteria fit. For a general overview of what lenders look for, visit our criteria page.
Exit strategies
Lenders need clarity on how they will be repaid. Typically, this happens in 3 ways:
- Sale of the refurbished property – Investors sell at the uplifted market value and use the proceeds to clear the loan. This is the typical exit option.
- Refinance to long‑term mortgage – Move onto a buy‑to‑let or residential mortgage once the property is habitable – if you intend on retaining it. The increased value often supports a higher loan amount, enabling equity release at the same time.
- Repayment via another asset – Funds can be cleared from the sale or remortgage of a separate property.
We help guide you on what the best exit option is for your situation.
Why Tiger Financial
- Since 2004: An established, specialist broker
- Whole market: Access across 50+ lenders
- Same day: Decision in principle
- Unregulated: Investor & business use only
As a specialist broker with over 20 years in bridging and development finance, Tiger Financial has the lender relationships and market knowledge to source fast, competitive refurbishment bridging terms that a borrower approaching lenders directly is unlikely to achieve. We manage the process from initial enquiry through to drawdown, so you can focus on the project.
Frequently asked questions
A decision in principle can be issued the same day you enquire. Full completion typically takes 3–4 weeks, reflecting the additional underwriting and monitoring required for refurbishment projects. This is distinct from standard bridging loans, which can complete in 5–7 days.
The strongest lenders can advance up to 72% NET of the purchase price on day one, plus 100% of the refurbishment costs released in staged drawdowns as works progress. Interest is added to the loan rather than charged monthly, meaning no payments are due during the term. The overall facility is capped at 70% of the gross development value (LTGDV) once the refurbishment tranche and rolled-up interest are included.
Light refurbishment covers cosmetic works that do not require planning permission or structural alteration — kitchens, bathrooms, redecoration. Heavy refurbishment involves structural changes or works requiring planning permission, such as extensions, loft conversions, or structural reconfigurations.
Yes. Refurbishment bridging loans are well-suited to auction purchases because they can be arranged within the standard 28-day completion window. They can fund both the purchase price and the subsequent renovation works in a single facility.
The loan is typically split into a day-one advance (based on the current value of the property) and a refurbishment tranche released in stages as works are completed and verified, usually by a monitoring surveyor. This structure keeps interest costs down by limiting the amount drawn at any one time.
Interest is only charged on funds once drawn.
Requirements vary by lender. Some lenders accept first-time refurbishers on light projects, while others require a demonstrable track record for heavy refurbishment schemes. Tiger Financial works with lenders across both tiers and can match your application to the most suitable option.
Residential, semi-commercial, and commercial investment properties are generally accepted. The property must be in England or Wales in most cases, and lenders will require it to be wind and watertight for heavy refurbishment loans. Unmortgageable properties in poor condition are commonly used as security for light and heavy refurb bridges.
Dual representation (dual rep) means a single firm of solicitors acts for both the borrower and the lender in the same transaction. Some bridging lenders permit this arrangement, which reduces legal costs and can speed up the conveyancing process. Not all lenders allow dual rep, and it is more commonly available on straightforward residential assets. Tiger Financial will confirm at the outset whether dual rep is available on your transaction.
Search indemnity insurance is a policy that replaces the need to carry out formal local authority, drainage, and environmental searches during conveyancing. Rather than waiting weeks for search results, the lender and buyer are protected by an insurance policy that covers any adverse findings that searches would have revealed. It is available on mainstream residential assets and is accepted by certain bridging lenders, enabling faster exchange of contracts. It is not available for all property types or locations, and your solicitor will advise whether it is suitable for your transaction.