Mortgage guide
A Revolving credit facility bridging loan
Revolving credit facilities can be structured as a longer-term bridging solution, where a property is used as security for an extended period, often up to five years, rather than being limited to a single, one-off bridging transaction.
- Published
- 4 Aug 2026
- Last reviewed
- 8 Oct 2026
- Reading time
- 3 min
A Revolving credit facility bridging loan
Revolving credit facilities can be structured as a longer-term bridging solution, where a property is used as security for an extended period, often up to five years, rather than being limited to a single, one-off bridging transaction. In this structure, the facility is underwritten upfront and secured against property, providing an agreed credit limit that can be drawn down, repaid, and reused repeatedly during the term. This allows borrowers to access bridging-style funding on demand, without the need to reapply for a new loan each time capital is required.
These facilities can be used in standard bridging scenarios, such as acquisitions, short-term refinancing, or business funding, but with the added advantage that once funds are repaid, they become available again. Because underwriting, valuation, and legal work are completed at the outset, the facility remains live for ongoing use, making it particularly attractive for active investors, portfolio landlords, and businesses that transact regularly. Revolving facilities can be secured against buy-to-let portfolios or commercial property, typically at up to 75% loan-to-value, subject to asset quality and lender criteria.
A key advantage is efficiency. Borrowers do not incur repeated valuation or legal costs for each transaction, and funds can be deployed immediately when opportunities arise. Interest is charged only on the amount drawn, not the full facility limit, which helps control costs while retaining access to substantial capital. This makes revolving bridging facilities especially suitable for low-geared landlords with significant equity who want to deploy capital dynamically rather than raising finance on a deal-by-deal basis.
In practice, revolving facilities are frequently used to support auction purchases and opportunistic acquisitions, where speed and certainty are critical. With funding already approved and secured, borrowers can bid confidently, complete quickly, and recycle capital as assets are sold or refinanced. By combining the flexibility of bridging finance with the durability of a multi-year structure, revolving credit facilities offer a strategic, reusable funding solution for investors and businesses that require fast access to capital over an extended period.
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Bridging Loan Criteria
For context, these are the wider product terms covered by this guide. Availability and eligibility depend on your circumstances and the lender.
| Criteria | Detail |
|---|---|
| Borrowers | Personal, limited company (Ltd co), LLP and offshore trusts, depending on the lender |
| Repayment type | Interest only or repayment |
| Term | Short term. The maximum term varies by lender; in our experience the minimum term is usually 1 month, and 3 months with some lenders |
| Experience | Not always required; it depends on the lender and the exit |
| Max applicants | Varies by lender |
| Valuation types | Automated valuation (AVM), Market Value 1 (MV1) yield based, market value (MV), 180-day or 90-day value, depending on the lender and how it labels the valuation basis |
| Regulated and unregulated | Yes, both: regulated where the borrower or a close family member lives, or will live, in the property |
| Credit searched | Usually, depending on the lender |
| Credit scored | Varies by lender; the decision rests mainly on the property and the exit |
For context, these are the wider product terms covered by this guide. Availability and eligibility depend on your circumstances and the lender.
| Loan to value | Rate |
|---|---|
| 65% LTV | 0.62% per month (2% lender fee) |
| 75% LTV | 0.72% per month (2% lender fee) |
| 85% LTV | 0.9% per month (2% lender fee) |
For context, these are the wider product terms covered by this guide. Availability and eligibility depend on your circumstances and the lender.
| Feature | Detail |
|---|---|
| Additional Security | 100%+ |
| Residential | 90% |
| Commercial | 75% |
| Land | 70% |
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Frequently asked questions
What is a revolving bridging facility?
A revolving bridging facility is a pre-approved bridging limit for repeat purchasers such as auction buyers, refurbishment investors and developers. Each purchase is drawn against the limit, secured on its own property and valued as it is drawn, instead of being underwritten from scratch. Each drawing is repaid from its exit, usually the sale of the refurbished property or a refinance onto a buy to let or commercial mortgage, and repayment restores the limit for the next deal. A drawing that cannot exit on time ties up that part of the facility.
Is a revolving facility cheaper than separate bridging loans?
A revolving bridging facility costs less than separate bridging loans when the deals repeat often enough for the set-up costs it removes to outweigh the fixed costs and non-utilisation fee it adds. One arrangement fee and one set of facility documents replace a fee and full legal work on every loan. On hypothetical figures for £200,000 three-month bridges on a £400,000 limit, a facility saved £7,000 on four deals a year and £1,250 on three, and cost £4,500 more on two. The answer for a real pipeline depends on the fees each lender quotes.
Do bridging loans do credit checks?
Yes, bridging lenders carry out credit checks, but credit history is usually a secondary consideration. Bridging loans are asset-led and exit-driven, so credit issues are often acceptable where the exit is a sale. Credit becomes more relevant where the exit relies on refinancing, particularly onto a residential or buy-to-let mortgage.
Can I get a bridging loan with bad credit?
You can often get a bridging loan with bad credit, because bridging lenders lend mainly on the property's value and the exit rather than credit scoring. Severe or recent adverse credit can mean a lower loan-to-value or higher price, and the exit must work despite your history.
What credit score do I need for a bridging loan?
There is no set credit score. Bridging lenders review credit in context rather than against a threshold, and missed payments, defaults, or CCJs do not automatically prevent approval where the asset and exit are strong.
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