Bridging loans “should not be employed”
January 29, 2008 by admin
Filed under News, News-Loans
Bridging loans should not be employed “unless absolutely unavoidable” claim a legal body. 
AA Legal Services said that although broken property chains remain, they should never be considered a routine factor and if one is obtained as a last resort, it should only be used where the period is limited.
James Molloy, product manager for AA Legal Services, said that the market will never be rid of aborted transactions and broken chains.
“Certainly not without reform around making the commitment to proceed legally binding earlier in the process – as in the Scottish process,” he added.
However, in all cases, and with all financial products appropriate advice in individual circumstances is essential.”
Research from the Times estimated that one in three property chains is broken.
According to new research from Hometrack, house prices dipped for the fourth month running while the average time it takes to sell a property is on the rise.
