Edgewater Associates, one of the Island’s largest Independent Financial Advisers, is expecting to give a boost to the local property market and help many would-be sellers and purchasers stuck in a housing chain following the introduction of a new home bridging loan to its portfolio.

Bridging loans are short-term lending options, most commonly used to purchase a new property before an existing one is sold. Such loans can often help free up those in the property market stuck within a chain where prospective buyers cannot progress until a particular property is bought or sold.

In an exclusive distribution agreement with Conister Bank, Edgewater Associates will provide advice on Conister Bridging Loans for amounts up to ?300,000 on an interest only basis. The loans will also be open to retirees which will be particularly useful to those wishing to downsize.

In order to reflect the slower pace of the Isle of Man property market, the Conister Bridging Loan can be held for up to five years, offering a chance for the best property price to be achieved.

Ian Crawford, Mortgage Manager at Edgewater Associates, said: “One of the most frustrating aspects of buying or selling a property is having a sale delayed by a chain where buyers are dependent on selling their existing property in order to fund a new purchase.

“It’s estimated that, on average, there are seven properties involved in every chain in the British Isles. Given the current constrained lending environment, it means the probability of a sale falling through is high.

“The new bridging loan from Conister Bank is specifically tailored for the home market and will help free up chains locally, giving the Isle of Man property market a much needed boost. We are delighted to be able to provide this service, which is one of a number of different property loan options we can offer.”

In addition to the Conister Bridging Loan, Edgewater Associates can also provide larger loans and bespoke funding for property projects, arranged through the traditional banking sector or the emerging alternative finance market.

Alternative finance has grown into a considerable global industry in recent years, with the market valued at some ?3.2bn in the UK in 2015. It is anticipated this sector will continue to grow as borrowers become more familiar with it and Edgewater Associates has already developed a funding relationship with a local peer-to- peer lender who can provide tailored loans to consumers and businesses alike.

Photo - Ian Crawford.