Need cash now, property still on the market?

Sometimes the plan is simple: sell the investment property, the vacant block or the old premises, and use the money to fix something in the business. Clear the tax debt. Fund the big contract. Restock before the busy season. The trouble is that selling takes time, and the thing you need the money for doesn’t.

This is a different bridge from buying before you sell. There’s no purchase settling on a fixed date. Event A is simply the day the business needs the cash. Event B is the day a sale settles on a property that, right now, has no buyer.

How is this different from other bridging loans?

With most bridges, the exit already exists on paper: a signed contract, an approval letter, a lodged claim. Here the exit is still a plan. That doesn’t make it a bad bridge, but it shifts what a lender looks at.

• Value is an estimate, not a contract price. The lender will rely on an agent’s appraisal, recent comparable sales and often its own valuation.
• Timing is open-ended. There’s no settlement date, only a campaign. The term has to cover marketing, negotiation, due diligence and settlement.
• Price strategy matters. A property listed well above market to “see what happens” is a weaker exit than one priced to sell.

What evidence makes an unsold property a credible exit?

Put together what a buyer’s agent would want to see, plus a bit more:

1. An appraisal or valuation from a local agent who sells that type of property, with comparable sales.
2. The listing agreement and the campaign plan: method (private treaty, auction, expressions of interest), marketing timeline, target date.
3. Your walk-away price, the lowest figure you’d genuinely accept. Lenders find this reassuring rather than alarming.
4. The property’s condition and any issues: tenants and leases, zoning, building works, environmental matters.
5. What else you own, in case the sale takes longer and a second exit is needed.

If you’ve been told your property is worth a figure that no one has offered yet, run the bridging calculator at your walk-away price, not the hoped-for one. If the numbers still work at the lower figure, you have a robust plan.

What should the term look like?

Work backwards from settlement. A commercial campaign might run several weeks before offers come in. Negotiation and the buyer’s due diligence take more time, and then there’s the settlement period set in the contract. Add a buffer for a first buyer who falls over.

The honest answer is that the term for an unsold property is usually longer than for one that’s already under contract. That’s not a problem if it’s planned from the start. It becomes a problem only when the term is too short and an extension has to be negotiated under pressure. Our page on bridging loan terms goes through the maths.

Already have an appraisal and a listing date? See what a bridge against it could look like with a quick enquiry.

An illustrative example

A civil contractor owes the ATO a significant amount and has been told a payment arrangement won’t cover it. The directors own a vacant industrial block, unencumbered, appraised at $900k–$950k. It’s listed, with an expressions-of-interest campaign closing in eight weeks.

A bridging loan secured over the block pays the ATO debt now. The sale, whenever it settles, repays the bridge. The directors take a nine-month term to cover the campaign, a possible second campaign and settlement. They also set a walk-away price of $850k and check that, at that price, the bridge is still fully repaid. (Illustrative scenario.)

What happens if it doesn’t sell?

Plan for this on day one. Options include reducing the price, changing agent or sale method, refinancing the balance to a longer-term lender, or selling a different asset. Lenders take far more comfort from a borrower who has thought this through than from one who insists the sale is certain. Read what happens if the property doesn’t sell and how a sale exit is assessed.

Which security works best?

The listed property itself is the natural security, and it’s repaid from the sale. If it already carries a mortgage, a second mortgage bridge may sit behind the existing lender. Residential property can also be used for a business-purpose loan; see using your home as security for how that works and what to weigh up.

How does the sale method affect the term?

The way you sell shapes how predictable the exit is:

Method	Timing profile
Auction	A fixed date to aim at, but no guarantee of a sale on the day
Expressions of interest	A set closing date for offers, then negotiation
Private treaty	Open-ended; depends on when a buyer appears
Off-market approach	Can be fast, but depends on a small pool of buyers

None is better in general. Ask your agent which method suits the property and the market, and set the bridge term to allow for the method you choose to need a second attempt.

Turn the sale you’re planning into cash you can use

If the property is going to sell, the business shouldn’t have to wait for the buyer to get what it needs. Tell us about the property, the appraisal, the campaign and what the money is for. The enquiry takes about a minute, there’s no credit check when you first enquire, and your details aren’t handed around to a queue of lenders. One specialist looks at your situation and calls you.

Fill in the property value and any existing loan as accurately as you can. It means the first conversation is about options, not corrections.

See if your listed property can bridge the gap →