The growing prevalence of property chains has become a major frustration for UK homebuyers. Although these chains can differ in length, they frequently complicate and delay the moving process for both buyers and sellers. When a chain becomes particularly complex it can lead to prolonged uncertainty, where the entire transaction risks collapsing if just one link in the chain fails.
Industry research suggests that on average it takes 109 days from the moment a sale is agreed to exchange - 65% longer than in 2007. Not only do these delays play on the nerves of all the parties involved, but they can also incur significant and unexpected costs, further impacting the budgets of already financially-stretched home buyers and sellers and potentially putting them off from future property plans. Finding a solution to this growing problem would form a major part of boosting the flagging property market.
The Government’s recent proposal to reform the house-buying system is a step in the right direction, and shows that the issue is not going unnoticed, but as it stands home buyers and sellers have little recourse when it comes to avoiding property chains. There is, however, an often overlooked and misunderstood tool which may help.
Bridging loans are rapidly increasing in popularity. This type of fast, flexible finance can be used to access a lump-sum and get a purchase over the line, helping property buyers and sellers avoid getting embroiled in property chains. Our research shows that nearly a third (28%) of homeowners who have used this type of loan said this was specifically done so they could avoid a prolonged property chain. And, 29% added this was done to make their 'chain free' offer more attractive to the sellers.
Together’s analysis of FOI data on the uptake of regulated bridging loans shows an extra £164m worth of loans were granted in Q1-2 2025 compared to Q1-2 2024**, pointing to a substantial shift in popularity recently.
However, better awareness and understanding of how this financing works is still vital. A fifth (19%) of survey respondents admit to never having heard of bridging loans before and 13% don’t know anything about how they work.
Together’s own research into general awareness around what bridging loans involve for borrowers is telling. For example, well over half (56%) of homeowners believe that bridging loans require monthly repayments, potentially putting many people off from the loan in the false belief that it will add to monthly outgoings (along with mortgage payments for example).
While this may be true for some lenders, it is far from the norm. A case in point would be Together personal bridging loans, which require no monthly repayments. Instead, interest is charged monthly and 'rolled up' to be repaid in a lump sum, with the initial loan and any fees and charges. This means that the proceeds of the sale, once it has cleared, can be used to pay off in full within the loan term, typically 12 months.
Similarly, a third (33%) of homeowners falsely believe they may not be eligible. Bridging loans could be an option for sole traders, freelancers or people with less than perfect credit. Retirees may also be eligible.
The benefits of using bridging loans are considerable, but the lack of awareness around using them and what they entail may be holding people back from achieving their home-buying goals. Simultaneously, the use of these loans would relieve pressure on everyone in the property chain and reduce the risk of it collapsing.
At the same time, giving more people access to these loans could help the entire property market run more smoothly and prevent chain collapses. Until a structural solution is found to the growing problem of property chains, the best we can do is to make the public as well informed as possible on its options when it comes to home buying and selling.
