The Intermediary – February 2026 - Flipbook - Page 36
BRIDGING
Opinion
Bridging finance
as a strategic
solution
O
ver the last few
years, many brokers
have noticed the
same paern. Deals
that would once
have sailed through
mainstream lenders are now geing
delayed, reshaped, or declined
altogether. Criteria has tightened, risk
appetite has narrowed, and as a result,
more deals are finding their way into
the bridging space.
That doesn’t mean bridging finance
has become a fallback option. In many
cases, it’s becoming the most practical
solution earlier in the process.
What’s changed?
Traditional lenders are taking a more
cautious approach across the board.
That shows up in stricter affordability
assessments, slower credit processes,
and less flexibility around property
type or borrower profile.
Non-standard assets are a common
sticking point, as properties with
short leases, unusual construction,
mixed-use elements, or planning
considerations oen struggle to fit
neatly into mainstream boxes.
Borrowers themselves are also more
complex. Self-employed income,
multiple businesses, portfolio
structures, or time pressure can all
introduce friction, even when the
underlying deal is sound. For brokers,
that can mean longer conversations,
more back and forth, and less
certainty on outcomes.
Stepping in earlier
Bridging finance is designed to deal
with complexity and time pressure.
That’s not new. What’s changed is
how early it’s being used. Rather
than waiting for a decline, brokers
are increasingly using bridging as a
proactive tool, allowing a purchase
34
The Intermediary | February 2026
DAVID TRAVERS
is CEO of ScotLend
or refinance to complete while a
longer-term solution is lined up
in the background.
This is particularly common
where speed maers, such as
auction purchases, chain breaks,
or opportunities tied to planning
or refurbishment.
Bridging offers a way to keep
momentum without forcing a deal
through criteria that no longer fits.
It’s also a reflection of how value and
risk are being assessed more rigidly
in parts of the mainstream market.
Automated processes and standardised
credit models leave less room for
nuance, meaning deals that are
fundamentally sound can still struggle
to progress.
In contrast, specialist lenders
are oen able to take a more
rounded view, considering the full
context of the borrower, the asset,
and the wider strategy behind
the transaction.
When bridging makes sense
Not every deal suits bridging finance.
It works best when there’s a clear,
realistic exit and a defined reason
for using short-term funding. Used
well, it buys time and flexibility. Used
poorly, it creates pressure.
That’s why early sense-checking
is so important. Understanding the
borrower’s objectives, the property
fundamentals, and the exit strategy
helps to make sure bridging is being
used for the right reasons. It’s also why
honest conversations maer. Bridging
isn’t about stretching deals beyond
what’s sensible, but instead solving
specific problems in a controlled way.
What this means for brokers
Tighter criteria isn’t going away
anytime soon, which means brokers
need more options, not fewer.
Used thoughtfully,
bridging helps keep deals
moving in a more cautious
lending environment”
Bridging finance is increasingly
part of that toolkit, as a strategic
choice where timing, complexity,
or flexibility are key. The strongest
outcomes tend to come from early
understanding; knowing whether
a deal suits bridging, how it can be
structured, and how it exits avoids
wasted time later.
For brokers, this shi places greater
emphasis on early positioning and
expectation-seing. Introducing
bridging as a considered option
rather than a last resort can help
clients beer understand the role
it plays within a broader funding
strategy. That clarity upfront oen
leads to smoother transactions,
fewer surprises, and stronger
long-term relationships.
A more considered role
As lending criteria continues to
evolve, bridging finance is playing a
more visible role in geing deals over
the line. Not because deals are weaker,
but because the market is different.
Used thoughtfully, bridging helps
keep deals moving in a more cautious
lending environment. If you’re seeing
more deals caught between tightened
criteria and tight deadlines, a quick
conversation early on can help. The
ScotLend team are always happy to
sense-check a deal and give a clear
view on whether bridging finance is
the right fit for your needs. ●
