Buying your next home before selling your current one? A bridging loan can help you make the move without the pressure. It gives you short-term access to the funds needed to secure your new place while you prepare your existing home for sale.
At LoanBrix, we help you structure the loan properly, compare lender options, and make the transition smooth from start to finish. Whether you’re upsizing, downsizing, or needing more time between moves, we’ll guide you through every step.
Let’s make your next move simple.
What Is a Bridging Loan?
A bridging loan is a short-term home loan designed to “bridge” the gap between:
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Buying your next property, and
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Selling (and settling) your current property
So, instead of waiting for your existing home to sell before you purchase, bridging finance can provide temporary funds so you can move forward with the transaction stress free.
At LoanBrix, we specialise in property finance, and our experts can assist you in securing a bridging loan so that you don’t miss out on your purchase, or find yourself juggling deposits.
Benefits of Bridging Loans
1) Buy the next property without rushing the sale
One of the biggest advantages of a bridging loan is avoiding a “panic sale.” If you find the right property, bridging finance can let you proceed confidently while giving you breathing room to sell your current home at the best price.
2) Reduce the stress of aligning settlement dates
Anyone who’s bought and sold property knows how hard it can be to line everything up perfectly. Bridging loans can smooth over settlement timing issues so you’re not forced into inconvenient and costly short-term fixes.
3) Make a stronger offer on your dream home (sometimes without a “subject to sale” condition)
In competitive markets, a “subject to sale” clause can weaken your offer. Bridging finance may help you make a more attractive offer, which can make your offer the top offer for sellers, especially in multiple-offer scenarios, which are common in today’s market.
(Your solicitor/conveyancer can advise on contract conditions. Always get legal guidance before signing.)
4) Move once, not twice
Without bridging finance, some people sell first, move into a rental or with family, then buy later. Bridging can reduce the need for temporary accommodation, storage costs, and double moves.
5) Unlock equity to fund the gap
If you have usable equity in your current property, bridging finance can leverage that equity to help fund your next purchase while your sale is in progress.
How a Bridging Loan Works
We assess your current property value
This determines your available equity and how much you can borrow.
We calculate your “peak debt”
This is your existing loan + the funds needed to buy your next home.
(We help you map this clearly so there are no surprises.)
You move into your new home
During the bridging period, most lenders allow interest-only payments—and some capitalise the interest entirely.
You sell your current home
Sale proceeds reduce your loan back down to the “end debt”, which becomes your normal home loan moving forward.
Is a Bridging Loan Right for You?
Every situation is different. We’ll run the numbers for you—peak debt, end debt, repayments, and timeline, so you can make an informed decision with confidence.
How Loanbrix can help
Bridging finance is all about timing, structure, and risk management. At Loanbrix, we help Australians understand their options, compare lender policies, and structure bridging finance that fits their plan — whether you’re upsizing, downsizing, or relocating.
If you’re considering buying before you sell, a quick conversation can help you work out:
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What you may be able to borrow
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What the bridging period could look like
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How to minimise risk and stress
Find out how much you can borrow
54 Lending Partners
We have relationships with all the major financial institutions and are constantly reviewing new and innovative loans to help provide you with the best possible solution.
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Can I use my home equity to buy an investment property?
Yes! You can use your home equity in place of a cash deposit to buy an investment property. If you have questions on how you can do this, don’t hesitate to speak with one of our brokers.
What costs are involved in an investment property loan?
For your investment property loans, you can expect costs that vary. You will need to save a deposit, which we recommend be at least 20% (avoiding the lender’s mortgage insurance), along with the repayments of the loan itself. This will depend on the lender you choose, but Mortgage Broker Melbourne is sure to get you the best deal on your loan. Additionally, there are often loan establishment fees that your lender will charge for processing the documentation. Ongoing loan fees and interest payments are also costs to consider, as they are the ongoing costs of loans. You should also look out for property loan break costs if you opt for a fixed loan; they only apply when leaving the loan before the fixed-rate term ends. However, we don’t charge any fees for our service! We will provide you with expert advice to ensure you get the most out of your investment property loan.
Investment Property FAQs
