Found the perfect next home before your current one has sold? Bridging finance lets you settle the purchase now and repay the 'bridge' when your existing home sells. During the bridge you hold peak debt (both properties), usually with interest capitalised so you're not making crushing double repayments; after the sale, the loan reverts to a normal mortgage on the new home (end debt). Done well, bridging removes the stress of aligning two settlements. Done badly — with an optimistic sale price or no buffer — it gets expensive. We model it honestly before you commit.
Common Challenges
What's Included
Our Process
Why Choose Wiseman Financial?
Frequently asked questions
How does a bridging loan work?
The lender finances both properties temporarily. Your total borrowing (peak debt) covers the existing mortgage plus the new purchase; when your old home sells, proceeds reduce the loan to the end debt — a normal mortgage on the new property.
Do I make repayments during the bridge?
Often no — most bridging products capitalise interest onto the loan during the bridge period, so nothing is payable until the sale. You need enough equity headroom for this, which is part of our feasibility check.
What if my home doesn't sell in time?
Bridging terms are typically 6–12 months. We plan for this upfront: conservative pricing, a buffer, and knowing the lender's policy on extensions. This is exactly why lender choice matters in bridging.
Is bridging finance expensive?
Bridging rates are usually close to standard variable rates with some lenders, higher with others. The real cost driver is time — the faster your sale, the cheaper the bridge. We model best and worst cases before you commit.
Do I need equity to bridge?
Yes — generally your combined position needs to stay under about 80% LVR on peak debt for the strongest options. We calculate your exact headroom in the free assessment.