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How Bridge Loans Work—How You Can Benefit From Residential Bridge Loans

  • DayoHub

How Bridge Loans Work—How You Can Benefit From Residential Bridge Loans

All the projects need financing and it is not always the case that you can meet these finances yourself. You have to depend on external resources at times so that you may accomplish your project smoothly and timely. These external resources may also be the various types of loans from a number of banks or financing institutes. These loans, if taken timely and used properly, can benefit the borrower a lot.

What are the bridge loans?

Those who want to purchase a new property before selling their old one can benefit from the bridge loan most. In fact, the bridge loan is a significant source to generate the funds if you are in the middle of the property transaction. For those who don’t know what a bridge loan or an estate loan is, it is necessary to tell them. It is a loan you can get from the state or the private lenders as a short-term borrowing taken out for the purpose of temporary financing. The motive has to be just one, the purchase of a new property. The loan is secured by some type of collateral, most often the property being sold or the real estate being financed by the loan.

Some benefits of getting the residential bridge loans.  

  1. The bridge loan is offered by the selected banks and some residential bridge loan lenders.
  2. The bridge loan is typically good for at least six months since it is a short term borrowing. But, it can be extended up to a full year, matching the ease of the borrower.
  3. Bridge loans can be organized in different methods depending on the borrower’s need.
  4. The interest rate is usually fixed and is 2% or more above the average fixed-rate product.
  5. The interest rate can vary widely with respect to various terms and fees. This means that you will get a customized solution for your unique purchase.
  6. A borrower may be able to secure better rates by getting both the bridge loan and the long-term mortgage from the same lender.

How you are at the benefit when you are taking residential bridge loan.

The biggest advantage a homeowner is getting here is the ease of making the new transaction without waiting for the first one to get completed. The buyers can focus on purchasing the property they want without the restrictions of having to sell their old one first. It has been observed in many cases, that selling a property takes more time than purchasing one.

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No more rental costs and hotel stays.

Selling an old piece of property is particularly tricky and the partial or the whole funds-transfer requires time. You may miss a good deal waiting for the money to reach your pockets, and if you have decided on the residential bridge loan, you will have the roof above your head back without worrying about anything else.

Contingency quotations can be avoided.

Another advantage of a bridge loan is that it allows the buyer to avoid a contingent offer — one that relies on the sale of another property.

No need to rush with your purchase—take your time to decide what should be bought.

In a cutthroat real estate world, the bridge loan allows the buyer to move quickly with an offer. If the seller is pushing for a quick sale, a borrower can move forward immediately. There is no need to make pauses between the transactions. The purchaser who can move ahead without having to wait for his old property to be sold will often have leverage over other buyers.

Such are the benefits of availing the bridge loans for boosting up your business.

 

 

 

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Dayo Adetiloye Business Hub is a grassroot business development service provider with a 6 year of track record of excellent service delivery for local and international clients.

As a leading business development service provider in Nigeria, Dayo Adetiloye Business Hub has been recognized and certified by Small and Medium Enterprise Development Agency of Nigeria (SMEDAN) in Conjunction with Enterprise Development Centre (EDC), Pan-Atlantic University (PAU) of the Lagos Business School (LBS).

Our solutions are designed for MSMEs and are supported by deep insight into various industries and extensive experience acquired from over the years by supporting our clients as partners in their business transformation.

Through our services and business activities, we help individuals/entrepreneurs transform their business ideas into a business venture, and support existing business to scale or expand their operation. We also connect startups and MSMEs with opportunities and resources for their business growth.

We have Consulted for more than 5000 MSMEs in the last 6 years in various industry including Agro-processing, Consulting, Training and Education, Financial Services, Waste Management, Renewable Energy, Oil and Gas, Construction, Real Estate, FMCG, Digital Marketing, Personal Branding etc.

Our Vision:
To become the leading grassroot business Hub that provides Business
Development Services in the global online community

Mission Statement:
– Provide bespoke management and business planning consultancy
– To connect MSMEs with opportunities and resources for their business startup, growth and expansion through trainings, seminars, coaching, consulting, mentoring, and Angel investing.
– To inspire, empower and champion entrepreneurship in the global online community.

Business Goals and Objective

– Engender national prosperity by contributing to the creation of at least 100 new businesses every year
– Become a go-to brand for outstanding business development services for MSMEs
– Strategic partnership with local and international organization to empower start-ups
– Continuous innovation to serve our clients better

Core Values:
Integrity
Opportunity Maximization
Digitalization
Personal Development (Capacity Building)
Excellent Customer Satisfaction
Timeliness

Share this:

Enter your name and email and Download our FREE eBook, get the weekly newsletter, Update on Grants, Business Opportunities & Premium Services from DayoAdetiloye.com... Joining is FREE!

Dayo Adetiloye Logo

Author

Dayo Adetiloye Logo

Lets connect

Facebook Twitter Youtube

Dayo Adetiloye Business Hub is a grassroot business development service provider with a 6 year of track record of excellent service delivery for local and international clients.

As a leading business development service provider in Nigeria, Dayo Adetiloye Business Hub has been recognized and certified by Small and Medium Enterprise Development Agency of Nigeria (SMEDAN) in Conjunction with Enterprise Development Centre (EDC), Pan-Atlantic University (PAU) of the Lagos Business School (LBS).

Our solutions are designed for MSMEs and are supported by deep insight into various industries and extensive experience acquired from over the years by supporting our clients as partners in their business transformation.

Through our services and business activities, we help individuals/entrepreneurs transform their business ideas into a business venture, and support existing business to scale or expand their operation. We also connect startups and MSMEs with opportunities and resources for their business growth.

We have Consulted for more than 5000 MSMEs in the last 6 years in various industry including Agro-processing, Consulting, Training and Education, Financial Services, Waste Management, Renewable Energy, Oil and Gas, Construction, Real Estate, FMCG, Digital Marketing, Personal Branding etc.

Our Vision:
To become the leading grassroot business Hub that provides Business
Development Services in the global online community

Mission Statement:
– Provide bespoke management and business planning consultancy
– To connect MSMEs with opportunities and resources for their business startup, growth and expansion through trainings, seminars, coaching, consulting, mentoring, and Angel investing.
– To inspire, empower and champion entrepreneurship in the global online community.

Business Goals and Objective

– Engender national prosperity by contributing to the creation of at least 100 new businesses every year
– Become a go-to brand for outstanding business development services for MSMEs
– Strategic partnership with local and international organization to empower start-ups
– Continuous innovation to serve our clients better

Core Values:
Integrity
Opportunity Maximization
Digitalization
Personal Development (Capacity Building)
Excellent Customer Satisfaction
Timeliness

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2 Responses

  1. Hauwa Suleiman says:
    March 7, 2019 at 5:21 pm

    Good

    Reply
  2. Pingback: Virtual Reality Technology: How It Will Change The World

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