🏠 Australia's #1 Bridging Loan Comparison

Bridging Loans
in Australia

Compare rates from 40+ lenders in seconds. Find the best bridging loan to fund your next property purchase before your current home sells.

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40+
Lenders Compared
$2.1B+
Loans Facilitated
48hrs
Avg. Approval Time
⚡ Live Rate Snapshot
Commonwealth Bank POPULAR
Closed Bridging · Up to 12 months
6.89%
p.a. variable
Westpac
Open Bridging · Up to 24 months
7.14%
p.a. variable
Macquarie Bank
Closed Bridging · Up to 6 months
6.74%
p.a. variable
Pepper Money FLEXIBLE
Open Bridging · Up to 36 months
8.49%
p.a. variable
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Lenders we compare

Modern Australian home
12mo
Typical Loan Term
The Basics

What is a Bridging Loan?

A bridging loan is a short-term financing solution that helps you purchase a new property before your existing home has sold. It literally "bridges" the gap between the two transactions — giving you the confidence to buy without waiting.

⚡
Fast Access to Funds
Approval in as little as 24–48 hours, so you never miss a property opportunity.
🏠
Buy Before You Sell
Secure your dream home without the pressure of a simultaneous settlement.
📊
Flexible Structures
Open and closed bridging options to suit your timeline and circumstances.
💡
Interest Capitalisation
Many lenders allow interest to be capitalised, so no repayments until settlement.
Step by Step

How It Works in Australia

Understanding the bridging loan process from application through to settlement.

01
Assess Your Situation
Determine the value of your current property and the purchase price of your new home to understand your peak debt.
02
Apply for Finance
Submit your application with supporting documents. Most lenders require proof of income, property valuations, and a sales contract.
03
Receive Approval
Lender assesses your application and issues conditional or unconditional approval, typically within 24–72 hours.
04
Purchase New Property
Use the bridging loan funds to complete settlement on your new property. Interest is typically capitalised during this period.
05
Sell Existing Property
List and sell your current home. The proceeds are used to repay the bridging loan and reduce your ongoing mortgage balance.
06
Loan Closes
Bridging loan is repaid in full. Your remaining balance converts to a standard home loan at your agreed long-term rate.
Visual Explainer

How Peak Debt Works

Understanding your peak debt position is the key to bridging loan success.

Existing Property
🏠
$750K
Current Value
Mortgage: $320K
+
New Property
🏡
$950K
Purchase Price
PEAK DEBT: $1.27M
→
After Sale
✅
$540K
End Debt
Saving: $430K equity

Example based on $950K purchase, $750K existing property, $320K mortgage. Use our calculator →

Compare Lenders

Bridging Loan Rates Compared

Side-by-side comparison of Australia's top bridging loan lenders. Rates updated regularly.

Lender Interest Rate Loan Term Max LVR Min Loan Type Verdict
Commonwealth Bank 6.89% p.a. Up to 12 months 80% $100,000 Closed Best for Big 4
Macquarie Bank 6.74% p.a. Up to 6 months 75% $200,000 Closed Lowest Rate
ANZ 7.04% p.a. Up to 12 months 80% $100,000 Closed Competitive
Westpac 7.14% p.a. Up to 24 months 80% $150,000 Open Flexible Term
NAB 7.19% p.a. Up to 12 months 80% $100,000 Closed Reliable
La Trobe Financial 7.95% p.a. Up to 24 months 85% $50,000 Open High LVR
Pepper Money 8.49% p.a. Up to 36 months 85% $50,000 Open Bad Credit OK
Liberty Financial 8.74% p.a. Up to 36 months 90% $50,000 Open Highest LVR
Get Personalised Rate Quotes →

*Rates are indicative and subject to change. Comparison rates may differ. Always read the PDS.

Estimate Your Costs

Bridging Loan Calculator

Get an instant estimate of your bridging loan costs and peak debt position.

Your Loan Details
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Your Estimated Results
Peak Debt (Bridging Period) $1,270,000
Bridging Loan Amount $520,000
End Debt (After Sale) $540,000
Monthly Interest (Bridging) $3,033
Total Interest Cost $18,200
Estimated LVR 75.1%
⚠️ This is an estimate only. Actual costs will vary based on lender fees, stamp duty, and your specific circumstances. Speak to a mortgage broker for a personalised assessment.
Know Your Numbers

Bridging Loan Costs & Terms

Understanding the full cost of a bridging loan helps you make a smarter financial decision.

Interest Rate 6.74% – 10.5% p.a.
Application Fee $0 – $1,500
Valuation Fee $300 – $800
Monthly Fee $0 – $30/mo
Exit / Discharge Fee $150 – $500
Typical Loan Term 3 – 36 months
Loan Options

Types of Bridging Loans Available

Different bridging loan structures suit different property situations. Here's what's available in Australia.

🔒
Closed Bridging Loan
You have a confirmed settlement date for your existing property. Lower risk for lenders means lower rates and easier approval.
Lower Rates Fixed End Date Easier Approval
🔓
Open Bridging Loan
No confirmed sale date for your existing property. More flexible but carries higher rates to reflect the lender's increased risk.
Flexible Timeline Higher Rates Up to 36 months
🏗️
Construction Bridging
Designed for those building a new home while still living in their existing property. Drawdown facility as construction progresses.
Progressive Drawdown Build Finance
🏢
Commercial Bridging
For commercial property purchases or business owners needing short-term finance between property transactions.
Commercial Security Business Use
🔄
Equity Release Bridge
Access equity in your existing home to fund a deposit or renovation before selling. Ideal for downsizers and upgraders.
Equity Access Deposit Help
⚡
Caveat / Second Mortgage
Fast-access short-term finance secured against property equity. Suitable for urgent situations where speed is critical.
Fast Settlement 24hr Approval
The Market

Who Provides Bridging Loans?

Multiple types of lenders offer bridging finance in Australia, each with different criteria and risk appetites.

🏦
Major Banks
CBA, ANZ, Westpac, NAB. Best rates but stricter criteria. Ideal for straightforward situations.
🏛️
Non-Bank Lenders
Macquarie, ING, Suncorp. Competitive rates with more flexible lending criteria than the majors.
💼
Specialist Lenders
Pepper, Liberty, La Trobe. Higher LVRs, accept complex income, and suit non-standard situations.
🤝
Private Lenders
Fast approval with minimal documentation. Higher rates but invaluable when speed is the priority.
Real Scenarios

Common Bridging Finance Scenarios

See how real Australians use bridging loans to navigate property transitions.

Scenario 01
The Upgrader
Sarah and Tom want to buy a $1.2M home before selling their $850K apartment. A closed bridging loan lets them move in immediately.
Peak Debt: $1,420,000 · End Debt: $570,000 · Term: 4 months
Scenario 02
The Downsizer
Margaret, 67, wants to move to a retirement village but needs to sell her family home first. An open bridge gives her 12 months flexibility.
Peak Debt: $680,000 · End Debt: $0 · Term: 9 months
Scenario 03
The Investor
David spots an off-market investment property but his equity is tied up. A bridging loan lets him move fast and refinance once settled.
Peak Debt: $2,100,000 · End Debt: $1,400,000 · Term: 6 months
Qualifying Criteria

Eligibility Requirements

Most lenders assess bridging loan applications based on these key criteria.

Personal Eligibility
  • Australian citizen or permanent resident
  • Minimum age of 18 years
  • Stable employment or verifiable income
  • Good to fair credit history (620+ score)
  • Genuine savings or equity in existing property
  • Ability to service the end debt post-sale
  • Not currently bankrupt or under Part IX arrangement
Property Requirements
  • Residential property in metropolitan or major regional area
  • Maximum LVR of 75–90% depending on lender
  • Property must be habitable and insurable
  • No more than 10 acres for standard residential loans
  • Existing property listed for sale (for closed bridging)
  • Independent valuation required by most lenders
  • Clear title with no caveats or encumbrances
Alternatives

Alternative Finance Options

A bridging loan isn't always the right solution. Here are the alternatives worth considering.

Home Equity Loan / Line of Credit
Access existing equity at home loan rates. Slower to arrange but significantly cheaper than bridging finance.
Deposit Bond
A guarantee in lieu of a cash deposit. Useful if your capital is tied up but you need to exchange contracts quickly.
Simultaneous Settlement
Coordinate both settlements on the same day. Eliminates bridging costs but requires precise timing and cooperation.
Rent-Back Arrangement
Sell your home and rent it back from the buyer while you search for your next property. Increasingly common in hot markets.
Personal Loan
For smaller deposit gaps only. Unsecured personal loans carry higher rates but are faster to arrange for short-term needs.
Australian suburb aerial view
Get Started

Step-by-Step Application Process

From initial comparison to settlement — here's exactly what to expect when applying for a bridging loan.

01
Compare Lenders
Use Bill Hacks to compare rates, fees, and terms from 40+ lenders in one place.
02
Get Pre-Qualified
Submit a quick eligibility check — no credit impact, results in minutes.
03
Gather Documents
Payslips, tax returns, property contracts, and council rates notice.
04
Formal Application
Submit your full application to your chosen lender with all supporting documents.
05
Property Valuation
Lender orders an independent valuation of both your existing and new property.
06
Conditional Approval
Receive conditional approval subject to satisfying remaining conditions.
07
Unconditional Approval
All conditions satisfied. Loan documents issued for signing by your solicitor.
08
Settlement
Funds released on settlement day. You're now the owner of your new property!
Social Proof

What Our Users Say

Thousands of Australians have used Bill Hacks to find their bridging loan.

★★★★★

"Bill Hacks saved us thousands. We found a rate 0.8% lower than what our bank offered and the whole process took less than a week. Absolutely recommend."

JM
James & Michelle T.
Sydney, NSW · Upgraded from 3BR to 5BR
★★★★★

"As a first-time bridging loan user I was nervous, but the comparison tool made it so clear. The calculator helped me understand my peak debt before I even spoke to a lender."

SK
Sandra K.
Melbourne, VIC · Downsizer
★★★★☆

"Found a specialist lender through Bill Hacks that accepted my self-employed income. Couldn't get approved through the banks but had unconditional approval in 3 days."

RP
Raj P.
Brisbane, QLD · Property Investor
Common Questions

Bridging Loan FAQs

How long does bridging loan approval take?
Most major bank bridging loans take 3–7 business days for unconditional approval. Non-bank and specialist lenders can approve in 24–48 hours. Private lenders can settle in as little as 24 hours for straightforward applications.
What is the maximum LVR for a bridging loan?
Most major banks lend up to 80% LVR on a bridging loan. Specialist lenders like Liberty and Pepper Money can go up to 90% LVR, though this typically attracts a higher interest rate and may require Lenders Mortgage Insurance (LMI).
Do I make repayments during the bridging period?
Many lenders offer capitalised interest, meaning no repayments are required during the bridging period. The accumulated interest is added to your loan balance and repaid when your existing property sells. Some lenders require interest-only repayments during the bridge.
What happens if my property doesn't sell in time?
If your property doesn't sell within the agreed bridging term, most lenders will work with you to extend the loan, though this may attract extension fees and a rate review. In worst-case scenarios, the lender may require you to sell the property to repay the loan. This is why it's critical to have a realistic sales timeline.
Can I get a bridging loan with bad credit?
Yes. Specialist lenders like Pepper Money and Liberty Financial offer bridging loans to borrowers with impaired credit history, defaults, or prior bankruptcies. The trade-off is a higher interest rate and potentially lower maximum LVR. A mortgage broker can help identify the most suitable lender for your situation.
Is a bridging loan the same as a construction loan?
No. A bridging loan is used to bridge the gap between buying a new property and selling an existing one. A construction loan is used to fund the building of a new home, with funds drawn down progressively as construction milestones are reached. Some lenders offer hybrid products that combine both features.
How is the bridging loan amount calculated?
The bridging loan amount is typically calculated as: (New property purchase price + costs) minus (existing property value × acceptable LVR) minus (existing mortgage balance). This gives you the "peak debt" — the maximum amount you'll owe during the bridging period.
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