As brokers and lenders offering bridging solutions, we have all encountered the ‘naughty’ or ‘nice’ situations clients have – like being a gift list of complexities with zero time. It’s akin to looking for a PlayStation 5 Pro on Christmas Eve.
The classification of a client is less about behaviour for Santa and more about the complexity and challenge we have getting a deal over the line for them. It can be demanding and rewarding to navigate the intricacies of bridging loans for high-net-worth individuals, developers, or corporate clients. So, how can brokers turn these complexities into opportunities – how can they be wrapped up quickly?
THE SPECTRUM OF NAUGHTY VS. NICE
Bridging loans are usually a fast option for clients who would like to move quickly. However, as brokers will know, speed depends on how straightforward the client’s situation is – which can be lost in translation when they need money yesterday. When a client is stressed and under pressure – facts can get lost.
Nice situations are textbook. Clients come prepared with clear documentation, straightforward exit strategies, and a well-defined purpose – property acquisition, auction purchases, or quick refinancing. These clients are cooperative, realistic with their timelines, and usually have a clean credit history. Wouldn’t we love lots of these in the stocking before Christmas?
Conversely, there are naughty or complex scenarios. Clients come to brokers with a complex property portfolio, tight deadlines, unclear exit strategies, adverse credit histories, or are navigating unusual circumstances like probate or planning issues. These clients often push the boundaries of standard lending criteria, requiring brokers to leverage their networks and expertise to secure the best terms.
DON’T LET CLIENTS GET STUCK IN THE CHIMNEY
Whatever type of clients this festive season brings, there are ways to make the process smoother so everyone gets the gift of speed. It starts with reassuring them that some lenders will consider their circumstances, for instance, based on loan-to-value, but the client needs to provide the facts from day one. If it’s suspected that they are holding back, dig deeper to get the details:
● Do they have adverse credit, CCJs, or insolvencies?
● What is the property value? Focus on liquidity and marketability, especially if it’s a niche or high-value property. Ensure valuations are conducted by reputable surveyors familiar with the asset class.
● Validate the exit strategy early – through sale, refinancing, or development completion. A weak exit plan can quickly turn a “nice” deal into a “naughty” one.
Complex scenarios often accompany clients with ambitious timelines and high expectations, leading to friction. So, it’s essential to be upfront with rates, terms, and timelines – give clients the reality of a lender’s approach to risk. Use lender relationships to pre-screen deals before submission to save time.
WHEN A CLIENT WANTS THEIR GIFT ON CHRISTMAS EVE
It’s no secret that the best clients are sometimes the most demanding – they come to a specific broker they have a relationship with because that person gets the job done. Here’s how to get a bridging loan over the line quickly:
● Streamline document collection by using digital onboarding tools and e-signature platforms. This will reduce paperwork delays and accelerate the approval process.
● Leverage technology to speed up valuations and legal checks. Automated property valuation tools and pre-approved solicitors.
● Maintain a ready-to-go pipeline of lenders who can handle fast completions, especially for auction finance, where deadlines are non-negotiable.
● Build relationships with niche lenders that will consider clients that offer flexibility with non-standard cases.
● Consider bespoke loan structures such as interest roll-up or deferred payment plans, which can appeal to clients with uncertain cash flows.
TURNING NAUGHTY SCENARIOS INTO NICE REVIEWS
Brokers often go the extra mile for clients with complex situations, and this help can be a lifeline—leading to excellent reviews and lifelong clients.
● Offer value-added services such as portfolio reviews and exit strategy consulting.
● Seek feedback post-deal to understand pain points and improve the process. This enhances client satisfaction and better prepares for future complex cases.
● Build a reputation as a specialist in handling complex bridging scenarios – become the go-to broker for challenging cases others might shy away from.
As the festive season fast approaches, there is an opportunity for brokers to get bridging loan deals over the line for clients quickly and smoothly. Brokers can use their experience of understanding when a client has a complex scenario to obtain all the facts before application to choose the right lender, get a pre-application decision, and submit timely paperwork – leading to lifelong clients.
