A client approached us after completing the renovation of an unencumbered property that was on the market. The issue? The sale was taking longer than expected, while several attractive investment opportunities couldn’t wait.
Rather than missing out on those deals, we arranged a bridging loan secured against the existing property, releasing capital immediately. This allows the client to proceed with multiple new acquisitions while continuing to market the original property for sale.
It’s a strategy many investors overlook. If you own an unencumbered or low-leveraged property, you may be able to unlock capital through equity release or by offering the property as security for short-term finance. Used correctly, this can be an effective way to fund deposits, acquisitions, refurbishments or wider portfolio expansion without waiting for an asset to sell.
Using short term equity release can be a great way to grow a property portfolio without having to sell existing assets.
