Welcome to the Richard Butler Creagh. Richard Butler Creagh founded Henley Finance in 2013. After a successful career in property development, he understood the needs of the professional and their requirements in short-term bridging finance and devised a way that they could be better met in Henley Finance. If you are thinking of getting a bridge loan, you are going to need an exit strategy. It is a plan that you will need to put in place which should help you repay the loan when it comes to the time for you to pay it.

Bridging loans are specifically designed as short-term finance solutions. While it is true that they can be quite useful when they are needed, they do tend to be a little more expensive when compared to long-term debts. This is the reason why it is important for you to get them repaid on time or you will end up getting slapped with interest rates that would only increase the debt even further.

The moment that you hit the end of a loan term, you will need to get the loan repaid in full. Being unable to do this would mean that your account will have to be in default. Since a situation like this is certainly going to have a negative effect on your credit file, the best thing to do is to get the situation resolved as quickly as possible.

You will usually have the option to extend the loan or to get it refinanced. Extending the loan would mean that you may no longer be able to keep rolling the interest up. Also, lenders may refuse to get the loan renewed. There are others that will likely increase the interest rate too. If you will go the refinance route, it can get quite expensive. Most of the time, you are just delaying what is inevitable- which is to pay the loan back- when you take this road.

There is a number of exit strategies that lenders may consider taking in the event that you are unable to pay the monthly fees back. They may sell the primary property, sell some other investments, refinance to a mortgage that is set for a longer-term, sell the secondary property, or sell shares.

Borrowers should always consider an exit strategy against whatever available timescale you have. Remember that it is better to have to extend the borrowing period longer than to actually run out of paying time. Most lenders that offer bridging finance will usually not charge fees for early repayment if you will choose to get the funds paid earlier than what was agreed.

If you are trying to sell a property, other investments, or shares, always check the market liquidity first as well as the likely length of time that the transaction is going to be completed. Property sales often take longer to get expedited even longer than what was initially expected. It is important to know the risks of possible buyers dropping out, failing their mortgage applications, as well as taking too long a time to get the process completed. Remember that buyers will usually not be sympathetic to the situation and will often take their sweet time and their own pace before pursuing the purchase.

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It helps to get a good understanding of the options available to you so you know that you will be able to meet your financial obligations out of taking advantage of a bridge loan. Learn more about how you can get the most out of a bridge financing by reading about Richard Butler Creagh online.