Bridge Finance for Property in Falmouth
Falmouth, a thriving coastal town in Cornwall, is an attractive destination for property investors and buyers alike. Its unique combination of historical charm, stunning blue flag beaches, and robust transport links make it a desirable location to invest in property. This is where bridge finance provides a practical financing solution...
With competition fierce for properties and investment opportunities, speed of completion is crucial, so how can South West bridging finance be used to purchase property in this beautiful Cornish hotspot?
Why purchase property in Falmouth?
Falmouth is more than just a pretty seaside resort; it's an area with excellent transport links, blue-flag beaches, and rich cultural heritage.
Unbeatable Location
Falmouth boasts of its strategic location on the south coast of Cornwall. The nearby A39 makes for easy travel to other parts of Cornwall and Devon. Its well-connected bus routes make getting around simple even without a car.
The town also features three railway stations: Penmere, Falmouth Town, and Falmouth Docks. They link directly to Truro station with regular trains connecting to London Paddington and northern cities such as Manchester or Birmingham via CrossCountry service.
Breathtaking Blue Flag Beaches
Situated along the English Channel coastline, four main beaches are within reach - Gyllyngvase Beach holds a prestigious Blue Flag status.
Pendennis Castle & Maritime Heritage
No visit to Falmouth would be complete without exploring Pendennis Castle. This castle, built by Henry VIII in the 1540s, offers breathtaking views across the Fal River Estuary from its hilltop position.
The National Maritime Museum is located here, ensuring seafaring enthusiasts have many reasons to love this maritime hub.
Seafront Promenade & Glendurgan Garden
A saunter along the coast path will bring you to a selection of eateries, shops and art galleries. It's also home to the Glendurgan Garden, a subtropical haven owned by the National Trust.
Popular Areas to Live in Falmouth
If you're seeking a charming spot with maritime heritage, look no further than Church Street. This historical part of town boasts Georgian architecture and sea views that'll have your heart singing sea shanties. The characterful homes on Church Street are the epitome of coastal living.
The Town Centre is another hit among property buyers. It's brimming with shops, cafes, and pubs that make for an exciting lifestyle. Not only this, but it also has top-notch transport links that let you explore more of Cornwall or travel to London if needed.
A gem hidden within the centre is Arwenack Street - steeped in history yet buzzing with modern life. A stroll down this street will reveal fascinating buildings from different eras while offering easy access to Falmouth's famous Maritime Museum.
Church Street:
This area combines stunning harbour views with quaint cottages and grand Georgian houses – there's something here for every taste. Add to this mix local amenities like bakeries, boutique stores, and friendly neighbourhood pubs at your doorstep.
Town Centre:
Filled with art galleries and independent boutiques alongside mainstream outlets, shopping is a joy rather than a chore. Many restaurants cater to all tastes, whether you crave fresh seafood from the harbour or international cuisine.
Arwenack Street:
Living on Arwenack Street means being part of a thriving community with roots dating back centuries. Its historic buildings add character to your everyday life while the bustling high street ensures you have all the modern conveniences at hand. The Maritime Museum, located just off this street, is a bonus for those who love diving into local history.
Understanding Bridge Finance
Bridge finance, or bridging loans as they're often called, is a type of short-term funding. Bridging finance works by offering 'bridge' funds while waiting for long-term financing or pending sale proceeds. You borrow against your property and repay once you've sold your existing house or secured long-term financing.
This financial solution offers quick access to cash - think buying at an auction or buying a property before selling the old one.
The beauty of bridge finance lies in its speed and flexibility. Unlike traditional mortgages, which can take months to get approved, bridging loans are typically ready within days.
Different Types of Bridging Loans
Generally, there are two types: closed bridge loans and open ones.
A closed loan typically has fixed repayment dates - so you know precisely when the lender expects their money back (usually within 12 months). These work well if the timing is specific – say if contracts have been exchanged on your current house, but completion is delayed due to unforeseen circumstances.
An open loan, however, lacks a set end date, although lenders may still ask it back after 12-18 months, depending on the policy. This type of loan is more flexible and suits situations where there's uncertainty around when the funds to repay will become available.
The Financial Considerations of Buying Property in Falmouth
Property buying is more than just finding the ideal property; it's about understanding the financial implications to ensure a smooth transaction. This includes being aware of property prices, taxes, potential returns on investment, and how bridge finance can help.
Falmouth Property Prices
Falmouth properties have varied price tags depending on location, size, amenities, and building age. According to Zoopla's data, average house prices hover around £370k, but they may be higher or lower based on these variables.
Tax Considerations
Purchasing property also brings along tax obligations that need careful consideration. Stamp Duty Land Tax (SDLT) is levied by HMRC whenever you buy land or property over certain thresholds.
In addition to SDLT, there are ongoing Council Taxes that vary from council to council - make sure to check Cornwall Council's rates.
Potential Returns On Investment
Considering returns on investment when purchasing property instead of a primary residence is vital for successful investing. The UK House Price Index shows Cornwall outperforming many areas across England and Wales, making Falmouth a potentially lucrative investment.
The vibrant tourism sector also offers rental income possibilities if you let your property during peak seasons.
Advantages of Using Bridge Finance for Property Purchase in Falmouth
As the name suggests, bridge finance is a 'bridge' to cover financial gaps during property transactions. It offers short-term funding options that let you secure that beautiful house near Glendurgan Garden without waiting for long-term financing approvals or the sale of an existing asset.
Fast Access to Funds
Unlike traditional mortgage processes, which may take months, getting approval within days is possible with bridging loans.
Flexibility
Bridging loans offer flexible repayment terms tailored around individual needs and circumstances. You might choose rolled-up interest where repayments aren't made monthly but instead added onto the loan amount due at the end of term – ideal if cash flow is tight now but expected income will allow full payment later.
Chain Break Issues
A common dilemma among buyers is finding their perfect house before they've managed to sell their current property. Bridge finance can provide the necessary funds quickly, allowing you to secure a property in Falmouth while waiting to sell your existing home.
We're experienced financial experts who arrange short-term bridging loans for property owners, securing you the best deal from over 200 bridging loan providers, including private investors and family offices.
Get expert assistance today; we're on hand to answer any questions about bridging loans.
Call our friendly team on 01202 612934, we're ready to help.
