Bridging loans are short-term loans that bridge the gap between two long-term borrowing arrangements. When they entered the market over 20 years ago, they were lending solutions only offered by a limited number of lenders.
During the credit crunch, banks tightened their lending criteria which made it harder for people and businesses to secure a traditional loan or mortgage. Bridging loans became a flexible and quick solution that prevented property chains from collapsing. Because of this, they grew in popularity massively over the years.
Bridging loans are now no longer a niche product, but a well-known and popular choice for property professionals and investors.