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When can I use bridging finance?
You can use bridging finance to access funds prior to the property transfer
being registered if you are one of the following parties involved in a property
transaction:
- A property seller by accessing surplus funds (profits) for payments of
transfer duties or any other payment,
- A property purchaser by funding transfer costs,
- A bond switcher by accessing the proceeds of the bond prior to the bond
being registered,
- An estate agent by accessing your commissions upfront,
In order to advance the money, we require that:
- Sales agreement with all suspensive conditions cleared
- Relevant Guarantees (Proof of finance to cover the transaction)
How much of the proceeds can I bridge?
We advance up to 80% of the Net Surplus Available. The net surplus is
calculated as follows:
| Property Selling Price |
R 500,000 |
| Less: Bond Cancellation Amount |
R 200,000 |
| Agents Commission |
R 35,000 |
| Attorney's Fees |
R 25,000 |
| Rates and Taxes Due |
R 7,500 |
| Net Surplus Available |
R 232,500 |
How much does it cost?
We charge an upfront initiation fee of 1.5% (Minimum of R150 and maximum of
R1,000 Excl VAT) of the amount advanced, plus a daily interest rate of
R1.1808 per R1,000 advanced. Being a registered credit provider means that
our rates and fees are among the lowest in the market.
Who is Invela Financial Corp?
Invela Financial Corporation is a nationwide specialty finance company with
particular focus on short term transactions in the property sector. We are
registered with the National Credit Regulator and fully compliant with the
National Credit Act so our borrowers can be confident in receiving the
lowest cost loans and the best available service protected by the lending
and credit laws of South Africa.
Other Articles:
Download Application FormsInvela Finance CalculatorBridging Finance ApplicationAbout Us - Invela Financial CorporationEstate AgentsBond SwitchersProperty SellersInvela Bridging Finance Loan Products
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