Ouch... these are very very expensive and are only ususally taken out as a last resort and for a short a time as possible.
When you are moving house and youve found the right home but havent yet sold your own, a bridging loan may help. It gives you an agreed amount to help you bridge the gap between selling and buying your property. You may come across different types including:
Open Bridging loan - Available when you have not yet finalised the terms on which you are selling your own home, but are going ahead with the one you are buying.
Closed Bridging loan - Available when you have agreed the terms on the home that you are buying and the one that you are selling, but there is a delay in moving.
Major banks and building societies can offer bridging finance, but consider all the risks before you opt for it. For example, if you effectively take on a second home loan and you fail to sell your first property, can you afford to shoulder the burden ?