Swiss bridging finance can be used to buy Swiss property quickly. Alternatively, you may be seeking an alternative financing arrangement to a Swiss or international mortgage or want to release significant equity from property you already own in Switzerland – whether or not you reside full time in Switzerland. You can use Swiss bridging finance to achieve these plans.
Other advantages of Swiss bridging finance include:
Many borrowers enquire about securing a Swiss bridging loan due to the speed at which you can draw down loan capital. Bridging lenders, including those that offer loans in Switzerland, move quickly, and you will be able to draw down funds very fast – sometimes in as little as two weeks. Because lenders work at pace, you may find it is a much faster way to finance a Swiss property purchase than via a mortgage which generally takes longer to arrange. A Swiss bridging loan can also be useful if you face losing a deposit on a property you are planning to buy in Switzerland.
No Requirement For Assets Under Management
Many international and domestic private banks require assets under management (AUM) as a part of a Swiss mortgage offer. You will often need to place a significant amount of assets under management to secure the mortgage, which may not be beneficial to you. Swiss bridging loan lenders will not require that you place AUM, which may be advantageous to you.
Bridging finance is a versatile financial tool, which can be used to realise various ambitions and solve problems. Where mortgages can solely be used to purchase property, for example, bridging loans can be used in a range of ways, including:
- Buying Swiss real estate
- Purchasing international property using a loan secured on Swiss real estate
- Raising liquidity quickly
- Consolidating debt in Switzerland or abroad
- Invest in securities, stocks, shares, bonds or a business
- Buying other assets
Regardless of your intended plans, you will need to approach lenders with a defined strategy which includes details of how you intend to use the funds and how you will manage them. If you wish to release equity from a property or use the loan to finance cross-border projects (i.e., you will use loan capital outside of Switzerland), you will find these plans are especially important to lenders.
Large Swiss Bridging Loans
Bridging lenders tend to specialise in one area of the market and focus on either large or small loans. How much you want to borrow will influence which lenders your broker will approach. There is no limit on how large or small a bridging loan Enness can broker. It is also worth noting that some lenders will provide significant bridging loans secured against Swiss property – loans of CHF 1-10 million are possible if your property and your financial background support this – larger loans are also an option.