The Intermediary – February 2026 - Flipbook - Page 39
rather than months, and by providing lending on
properties that require significant work before
they become mortgageable or rentable.
This opens up opportunities for a wider pool
of investors who are confident in their ability
Stuart Collar-Brown, president of NAVA
Propertymark, notes that “sellers continue to
value the speed and certainty that an auction
offers when compared to private treaty sales,”
adding that the legal certainty provided, with
to act quickly and add value. According to
completion typically within 28 days, remains
Cappaert, over the past 12 months, participation
a key driver.
has widened to include first-time or ‘accidental’
Cappaert emphasises: “Speed and flexibility
investors, as well as portfolio landlords moving
are often the difference between winning and
into heavier refurbishments.
losing a deal. Auction purchases come with
Cappaert adds: “[Our] role is to structure these
strict completion deadlines, with vendors
deals, match clients with the right lenders, and
favouring buyers who can demonstrate funds and
navigate criteria, valuations, and exit strategies.”
certainty. Lenders have responded by increasing
When speed is essential
gross loans and the ability to fund up to 100%
Auction sales are, by their very nature, time
of works, giving clients far greater leverage on
sensitive. Buyers must pay a deposit and
value-add projects.”
flexibility, with some now offering up to 85%
complete within weeks of purchase, often for
He adds that, for many, bridging is more
properties that fail standard mortgage criteria
than just a source of funding; it is a strategic
due to poor condition or legal complexity.
tool that enables clients to act with the speed of
Auction finance addresses time-sensitive funding
cash buyers while still making the most of their
gaps, providing fast, flexible funding that can be
capital – hence its reputation as the “Swiss-army
arranged in just days.
knife” of finance.
As Sonia Mann, head of sales at Roma Finance,
In light of this, many brokers now specialise
explains: “Speed is critical in today’s market.
in securing pre-auction approvals and rapid
Auction finance and refurbishment bridging
due diligence, enabling clients to commit with
loans give investors the confidence to move
confidence and complete transactions that would
decisively and meet tight completion deadlines,
otherwise have been out of reach.
which can make the difference between securing
a deal or missing out."
“We’re also seeing increased use of revolving
Unlocking value
For properties that cannot be mortgaged in
credit facilities and capital-raise bridging to
their current state – those lacking kitchens,
support this approach,” she adds.
bathrooms, or Energy Performance Certificate
p
February 2026 | The Intermediary
37
31
