Bridgit Blueprint: Bridging for marital separation

How bridging can help your clients navigating marital separation 

Welcome to the Bridgit Blueprint, your monthly dose of practical tools to help you tap into the power of bridging finance as a broker. 

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This month, we’re turning your attention to one of the lesser-known scenarios where bridging finance can be helpful. If your client is navigating marital separation, discover how bridging can ease some of the strain.

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Marital separation can be particularly tricky, with legal fees, shared assets to divide and new housing arrangements to sort out.

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If clients are coming to you in a moment of need, you want to do everything you can to offer practical, timely solutions. And that’s where bridging can help.

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In the case of marital separation, bridging finance can offer financial flexibility when your clients need it most 

• Your client needs to buy a new home while the family home is listed for sale.
• Your client is buying their partner out of a jointly-owned property.
• Your clients want to purchase separate properties using their existing shared property as a security.
• Your client is navigating legal fees during the asset division process.

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How bridging helps homeowners during  marital separation 

Bring your clients on the journey and give them peace of mind by explaining how bridging finance can benefit them:

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• Move on your terms: Secure a new place to live without having to wait for the family home to sell.
  
• Divide assets with ease: Buying a partner out of a jointly-owned property is no longer a hefty financial burden.
  
• Unlock equity when you need it: Gain financial flexibility and pay for legal fees incurred once your separation agreement has been finalised.
  
• Simple and controlled funds: Disperse the funds fairly via a solicitor and to agreed terms.

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Have a client in mind? Here’s how it works:

With Bridgit you can keep pace with your client’s needs. 

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Throughout the entire process, you’ll have direct access to a bridging credit specialist, who will share progress updates and be on hand to answer any questions throughout the application process. 

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1. Workshop a scenario with your BDM: Start by discussing your client’s situation with your local Bridgit BDM. They’ll provide an instant summary of options that best fit your client’s needs.
2. Apply in minutes: With Bridgit’s broker portal, you can apply for bridging finance in minutes, simply add in the notes section that the loan will be used for marital separation.
3. Conditional offer in hours: We provide a conditional offer within hours, subject to receiving the necessary supporting documents (we only ask for what’s needed!).
4. Supporting Documentation: If there is a change to property ownership and/or payout of an ex-partner as part of refinancing the existing property to Bridgit, we will require an Executed Separation Agreement prior to unconditional offer.
5. Unconditional offer: After the credit team reviews the supporting documents and any required valuations are returned, we issue the unconditional offer.
6. Settlement: Once the family home is sold, funds are allocated via the solicitor to ensure it aligns with the agreed use and split of the separation. There are no monthly repayments, which can help with cash flow for both parties during a separation.

Benefit from instant scenario workshopping, applications ready in minutes, and conditional approvals in as little as two hours—helping your clients to get moving faster.

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Case study: Here’s how we helped a recent customer

When a couple undergoing separation needed to purchase two separate retirement units within 30 days of each other, they turned to Bridgit to secure a fast, flexible bridging loan. 

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• LVR: 71.35%
• Loan amount: $921,800
• Loan purpose: Marital separation 
• Loan term: 12 months

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Bridgit funded the purchase of the first retirement unit, holding the remaining funds in the solicitor’s trust account until the second retirement property reached settlement. 

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During a challenging time, bridging finance offered a smooth, secure process that allowed both applicants to secure new retirement homes and ensured a fair, transparent distribution of funds. 

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Want to learn more?

Chat to your BDM to learn more about Bridging finance today.