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How bridging finance can support clients navigating marital separation
Background
Separation often comes with tight timelines and financial complexities, especially when dividing shared assets. For this couple, selling their jointly owned home to fund two new retirement properties seemed like the only option. But waiting for a sale would have delayed their move and added stress during an already difficult transition.
Let’s take a closer look at the loan scenario:
- LVR: 71.35%
- Loan amount: $921,800
- Loan purpose: Marital separation, purchase of 2 x units before selling
- Loan term: 12 months
Our Objective
To help the clients:
- Purchase two separate retirement units before selling their shared home
- Adhere to their separation agreement with structured, transparent fund distribution
- Avoid financial strain by eliminating the need to wait for a sale
Our Solution
A single-security bridging loan secured against their existing property enabled:
- Simultaneous funding for two purchases on different settlement dates
- Held funds in trust for the second property, ensuring fair allocation per their legal agreement
- No forced sale: flexibility to sell the original home on their timeline