HMO Bridging Finance

HMO bridging finance provides short-term funding to purchase or refurbish a house in multiple occupation. It is often used by landlords who need to complete quickly, carry out works to meet licensing standards or refinance before moving to a longer-term product. As an independent broker, Avid Finance searches the market to find lenders suited to your project.

Our team offers straightforward guidance from enquiry to completion. With wide lender access and experience in HMO bridging loans, Avid Finance helps you arrange funding that supports your investment goals.

Get Started

Same-day decision in principle
100% LTV with additional security
Market-leading rates
Specialist HMO finance advisors
Flexible on income and credit

Get Started

What is HMO bridging finance?

HMO bridging finance, sometimes referred to as an HMO bridging loan, is a short-term facility designed for landlords investing in houses in multiple occupation. Unlike a standard mortgage, it runs for months rather than years, providing flexibility while works are completed or long-term finance is secured.

It is commonly used to acquire HMOs, carry out refurbishments for licensing compliance, or release capital tied up in an existing property. Avid Finance connects you with lenders who understand HMO projects and can support your investment strategy.

Licensed and Unlicensed HMOs

HMO loans for both licensed and unlicensed properties.

Limited Companies and Individuals

HMO Finance in your individual name or a limited company.

HMO Refurbishment Loans

Renovate HMO properties with finance tailored to your needs.

HMO Development Finance

Convert residential properties to HMOs with development finance.

How HMO bridging finance works

The process begins with an enquiry outlining the property, proposed HMO use and repayment plan. Lenders typically arrange a valuation and review the refurbishment or compliance works required before offering terms.

Once an offer is accepted, funds can often be released quickly. The loan is secured against the property, runs for a fixed short term with interest charged monthly, and is repaid when the project is refinanced or sold. Avid Finance manages the process for you, ensuring your case is presented effectively to the right lenders.

HMO finance specialists

Flexible repayment terms

Quick access to funds

Streamlined application process

Enquire now

Key facts

Loan Amount	£30,000 to £30 million
Loan Term	From 3 to 24 months
Loan-to-Value (LTV)	Up to 100% available with additional security
Refurbishment Works	Up to 100% of refurbishment works funded
Interest Options	Serviced, retained or rolled up
Security	First and second charge
Rates	From 0.45% per month
Region	England, Scotland, Wales and Northern Ireland

Client reviews

Henrik, Birmingham

The team at Avid Finance were able to arrange a bridge loan on a semi-commercial property within a week. Best service bar none.

Ross, Wandsworth

Avid Finance provided an exceptional personal service… the only firm I spoke to that I felt truly had my needs at the heart of the discussion.

Mandeep, Southall

I would strongly recommend Avid Finance for corporate/commercial deals. They have variety of products depending on our need and urgency.

HMO bridging finance explained

What can HMO bridging finance be used for?2025-09-25T09:42:35+00:00

What can HMO bridging finance be used for?

It is typically used to purchase HMOs, fund refurbishments for licensing, convert properties into shared accommodation, or refinance existing borrowing.

How quickly can funds be released?2025-09-25T09:42:46+00:00

How quickly can funds be released?

Bridging for HMOs can often be arranged within days once valuations and legal work are complete. Using a broker helps keep the process moving smoothly.

How long does a typical HMO bridging loan run for?2025-09-25T09:42:49+00:00

How long does a typical HMO bridging loan run for?

These short-term facilities usually last from a few months up to around 18 months, depending on the project and the lender.

Do I need an HMO licence before applying?2025-09-25T09:42:52+00:00

Do I need an HMO licence before applying?

Not always. Some lenders will consider applications where conversion or refurbishment is required, provided there is a clear plan to obtain the licence.

What security do lenders require?2025-09-25T09:42:55+00:00

What security do lenders require?

The loan is secured against the property itself. Lenders also review the loan-to-value ratio and, in some cases, the borrower’s track record in property investment.

Can first-time landlords use this type of finance?2025-09-25T09:42:58+00:00

Can first-time landlords use this type of finance?

It may be more challenging, but some lenders will consider first-time applicants if there is a clear repayment plan and the right professional support in place.

What costs should I expect?2025-09-25T09:43:00+00:00

What costs should I expect?

Borrowers should allow for monthly interest, arrangement fees, valuation costs and legal fees. A broker will outline the likely charges at the outset.

How do I repay the loan?2025-09-25T09:43:03+00:00

How do I repay the loan?

Repayment is normally made in full at the end of the term, often by refinancing onto a buy-to-let or commercial mortgage, or by selling the property.

Can the finance be repaid early?2025-09-25T09:43:06+00:00

Can the finance be repaid early?

Many lenders allow early repayment, though some may charge an exit fee or set a minimum interest period. Always check the terms before committing.

Is HMO bridging more complex than standard bridging?2025-09-25T09:43:09+00:00

Is HMO bridging more complex than standard bridging?

It can be, due to licensing rules, planning requirements and the works needed to bring properties up to standard. Working with a broker experienced in HMOs helps make the process smoother.

Speak to an HMO finance specialist

Whether you are purchasing, converting or refinancing a house in multiple occupation, our team can help. Avid Finance provides clear, independent advice and connects you with lenders who understand the HMO sector.

Enquire Now