Specialist lender Precise has stepped in with a £1.7m bridging loan to prevent a residential chain from collapsing.

The deal, arranged in collaboration with Canford Specialist Finance, involved a borrower who was at risk of losing their onward purchase after a break in the chain. The situation was further complicated by the fact that the target property had been bought at auction, triggering a strict 56-day completion deadline.

Bridging finance was agreed as the most viable route, with a term of up to 12 months to give the borrower enough time to sell their existing home. The loan was structured to allow early repayment with interest payable only for the period it was used, providing essential flexibility.

Alan Kimber (pictured), head of bridging at Precise, said: “Chain breaks are unfortunately common with house sales, and in 2024 28.8% of all property sales fell through. However, it doesn’t need to spell the end of the buying journey as bridging can often be the ideal solution, helping buyers continue with their purchase and providing the ability to sell their property at a later date.

“Jenny worked very closely with Ross and our in-house underwriters, diligently providing the information and documentation they requested which really helped to push this case through quickly.”

Jenny Gallagher, director at Canford Specialist Finance, added: “We first spoke about this case with Precise on a Friday, and by the following Tuesday they had helped us submit a full application. Precise delivered an offer swiftly, allowing the client to proceed within the auction’s strict timeframe and allowing the purchase to complete comfortably within the 56-day deadline.

“Their property sold within eight weeks, meaning just two months’ interest is payable thanks to Precise’s flexible criteria. It’s cases like this that show just how effective specialist finance can be when all parties are aligned and responsive. The support from all at Precise was second to none.”