Both bridging loans and mortgages are secured forms of finance, yet they serve very different purposes. A bridging loan is a short‑term funding solution designed to “bridge” the gap until longer‑term finance can be arranged or an existing property is sold. Mortgages, by contrast, typically last 15–30 years and are intended for long‑term home ownership or investment.
Bridging loans are often used by investors or developers who need to move quickly. Because they are meant to be repaid within about 12 months, lenders tend to focus on the value of the property and the borrower’s exit strategy rather than on personal affordability. Mortgages involve more rigorous affordability checks and a slower application process but offer the stability of predictable monthly payments over decades.
Property investors might choose a bridging loan when timing is critical—such as buying at auction, financing a chain‑break, or undertaking a refurbishment. Mortgages, however, are usually the better option for long‑term purchases where the aim is to hold the asset for several years. Investors should remember that both products are secured against property and that failure to meet repayments can lead to repossession. Understanding your goals, time‑frame and exit strategy will help determine which funding route is most suitable.