Call us on: 01322 912578
Auction finance, done right
Fast, reliable funding to meet 28 or 56 day auction deadlines. We line up the facility, manage valuation and legals, and keep the process moving so your limited company completes on time.
Auction finance: key facts
A quick snapshot so you can decide if auction finance is the right fit for your company.
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Buyer type: LTD or SPV limited company
Personal guarantees are common. Debenture may be required for trading entities.
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Speed: terms can be issued quickly once the auction legal pack and basic documents are read. Designed to complete within standard 28 or 56 day windows, subject to due diligence.
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Security: first charge on the property. Second charge may be considered with suitable equity. Additional security can support higher leverage where appropriate.
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Works: suitable for light refurbishment and change of use where planning is viable
Heavy works and ground up builds may require development finance.
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Exit: sale or refinance to a term product
We map your exit before you bid so the route is clear.
What is auction finance?
Auction finance is a short term facility used to complete a property purchase within a fixed deadline.
The loan is secured on the property being purchased and is designed to be repaid by sale or by refinancing to a longer term mortgage once the property is ready.
For LTD and SPV borrowers, we package the case to lender criteria, secure an approval in principle, then drive valuation and legals to hit your completion date.
What we can arrange
Choose the route that fits the asset and your timeline. If more than one path could work, we set out the trade offs clearly.
Standard auction bridge
Fast purchase funding for residential, mixed use and selected commercial assets. Useful where the property is lettable or needs only light works.
Light refurb bridge
Funding that allows defined works before sale or refinance. Ideal for kitchens, bathrooms, redecoration and minor layout changes.
Unmortgageable property
Finance for properties that need works or have title or EPC issues.Exit by sale or by refinance once issues are resolved.
Second charge bridge
Additional funding against another property to support the deposit or works. Subject to equity, consent and overall risk.
Common uses for auction finance
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Buy under the hammer and complete within 28 or 56 days
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Tidy and resell where light works increase value
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Stabilise and refinance to term once lettings or income are in place
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Solve issues such as short leases, title defects or EPC improvements prior to exit
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Raise capital for deposits or fees using equity in other properties
Common uses
How it works
A clear, fast process that fits auction timelines.
Pre-auction check and AIP
Share the lot details, legal pack and your intended exit. We secure an approval in principle for your LTD or SPV so you can bid with confidence.
Valuation and full offer
Once you win the bid, we instruct valuation immediately and finalise the offer subject to standard conditions.
Legals and conditions
Your solicitor and the lender’s solicitor work through the legal pack, enquiries and any special conditions. We keep momentum and chase all parties.
Completion
Funds are released to meet the auction deadline. If timelines are tight, we explore desktop or drive-by valuation where acceptable.
Exit: we help refinance to a term product or assist with sale and redemption.
Costs and fees in plain English
We set out every cost in pounds before you bid. You will see what is payable up front, at completion and on exit.
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Up front: valuation, legal searches and a possible application or booking fee. We help you scope valuation type and coordinate access fast.
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On completion: lender arrangement fee, your legal fees and any retained interest. We confirm if interest is retained, rolled or serviced monthly.
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During the term: interest and any monitoring where works are involved. We provide a simple monthly cash flow so you can plan.
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On exit: any exit fee and standard legal costs for redemption. We confirm early repayment provisions and minimum interest if applicable.
Eligibility snapshot
Use this as a guide. If you are close to the margin, speak to us.
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Borrower: LTD or SPV company with suitable directors and shareholders. Personal guarantees are standard. For trading companies a debenture may apply.
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Deposit: typically at least 25 percent of the purchase price
Higher deposits can improve pricing and speed.
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Credit: minor adverse considered with a clear plan and explanation. Full transparency helps us target the right lender.
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Property: residential, mixed use and selected commercial assets. Unusual assets are considered if the exit is realistic.
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Exit: sale or refinance supported by valuation, rental or affordability evidence. We test the exit against lender stress rates before you bid.