# Bridging Finance Valuation Guide Source: https://www.cashbookfinance.co.uk/insights/bridging-finance-valuation-guide Last updated: 2026-10-26 Author: Bjorn Laku, Director & Chief Marketing Officer (https://www.bjornlaku.com/) Publisher: Cashbook Finance Limited > Understand how bridging finance valuations affect LTV, loan size, timing and risk, and what borrowers can prepare before the valuer attends. FCA-registered UK lender FRN 782472 ## The valuation is not a formality. The valuation anchors the security analysis and can change the available facility. Access, title, condition, planning and comparable evidence all influence how quickly the report can support a decision. Written and reviewed by [Bjorn Laku](https://www.cashbookfinance.co.uk/bjorn-laku), Director & CMO. Business bridging only: Cashbook Finance does not offer regulated bridging loans secured on a home the borrower or a close family member lives in. LTV · Property → short-term capital Illustration Bridging structure check A £325,000 loan against a £500,000 property Within reference **65%** loan-to-value, against a 70% illustrative reference point - **Equity remaining** £175,000 - **Headroom to 70% LTV** £25,000 Estimated property value · £500,000 Requested gross loan · £325,000 Within a 70% illustrative LTV reference point. **Security risk:** Your property may be repossessed if you do not keep up repayments on a loan secured against it. Check eligibility · Costs and exit **£30m+** funded · **100+** UK businesses since 2019 · London SE1 - FCA **782472** - ICO **ZB545200** - Companies House **10723098** ### What the valuation needs to establish. A strong application makes the property easy to inspect and the relevant facts easy to verify. Value #### Use evidence, not aspiration Purchase price, market value, investment value and a post-works estimate are different measures. The structure must use the basis relevant to the proposed security. Condition and use #### Surface material issues early Occupancy, disrepair, non-standard construction, planning, licensing and environmental issues can affect value, marketability and lender appetite. Timing #### Remove avoidable access delays Confirm access, contacts, leases, plans and property documents before instruction. A fast valuation cannot compensate for missing information. Check eligibility · About 2–3 minutes, no credit search. ### Make the property ready to be underwritten. Prepare access, title, tenancy, planning and works information before the valuer is instructed. ### The valuation can change both the amount and the route to completion. A valuation is commissioned for the lender’s security decision. It may not adopt the borrower’s estimate or the price agreed between connected parties. The report can also identify legal, planning, condition or marketability points that need further work. Borrowers can reduce friction by providing accurate property details, immediate access, tenancy and planning information, a schedule of works where relevant and evidence supporting the proposed exit. Hiding a weakness usually creates a later delay rather than a better outcome. - Confirm the exact property, tenure, occupancy and charge position before instruction. - Provide plans, leases, planning documents and works information in one pack. - Do not size the transaction to an untested value with no margin for change. Which suits you Check eligibility · About 2–3 minutes, no credit search. ### Prepare for the valuation. | Your situation | Usually the better fit | Why | | --- | --- | --- | | The price was agreed between connected parties | Expect a full independent valuation | Connected prices are not relied on | | The property is tenanted | Send leases and the rent schedule | Tenancies affect value and access | | Works are planned | Send the schedule of works and costs | Supports a value after works | | The deadline is tight | Book access before instruction | Access is the most common avoidable delay | Worked example ### When the valuation comes in low. A buyer agrees £400,000 and plans to borrow 70%. The lender’s valuation comes in at £370,000. Keep a cash buffer or a fallback for a low valuation before you commit to a deadline. Check eligibility · Talk it through with a director | Agreed price | £400,000 | | --- | --- | | Loan expected at 70% of the price | £280,000 | | Lender’s valuation | £370,000 | | Loan available at 70% of the valuation | £259,000 | | Shortfall the buyer must fund | £21,000 | Illustrative: lending is sized on the lender’s valuation, not the agreed price, at an illustrative 70% reference loan-to-value. Bridging finance is secured against property, which may be repossessed if repayments are not maintained. ### Bridging valuations: use the comparison to make a funding decision. The valuation protects the lender and tests the assumptions behind the exit. #### Current market value The value in the property’s present condition. #### Restricted-sale assumptions A shorter marketing period may produce a lower figure. #### GDV Relevant only where works and planning support a credible completed value; it is not the same as current security value. Examples are educational only. Eligibility, pricing, security and final terms always depend on a formal assessment of your business, your documents and the facility proposed. **Related guidance:** [Bridging finance](https://www.cashbookfinance.co.uk/bridging-finance) · [Pricing & decisions](https://www.cashbookfinance.co.uk/pricing-decisions) · [Eligibility](https://www.cashbookfinance.co.uk/eligibility) · [Case studies](https://www.cashbookfinance.co.uk/case-studies) Quick answers ### Common questions. Check eligibility · All questions **Who pays for the valuation?** The borrower usually pays, and the valuer reports to the lender. The cost is quoted before instruction. **How long does a bridging valuation take?** Often days once access is booked; complex or tenanted property takes longer. **Can I use my own valuation?** The lender instructs its own valuer, but your evidence (comparables, plans, leases) helps the report. **What if the valuation is low?** The loan reduces, or you add equity. You can challenge it with evidence, but plan for the possibility. Can’t see your question? Talk it through with a director #### Official sources - Search property information from HM Land Registry · GOV.UK Official guidance and legislation on the rules this page refers to. They explain the rules in general; take advice on your own position. Check eligibility · About 2–3 minutes, no credit search. ### A practical note from the lender. **Bjorn Laku: commercial judgement** Bridging delays usually come from unclear security, weak exit evidence or legal details that should have been surfaced before the deadline became urgent. ### More guides on bridging finance - [Bridging for limited companies and SPVs](https://www.cashbookfinance.co.uk/insights/bridging-loans-limited-companies-spvs) - [Refurbishment bridging finance](https://www.cashbookfinance.co.uk/insights/refurbishment-bridging-finance) - [VAT bridging loans](https://www.cashbookfinance.co.uk/insights/vat-bridging-loans) - [Auction bridging finance](https://www.cashbookfinance.co.uk/insights/auction-bridging-finance) - [Bridging finance exit strategies](https://www.cashbookfinance.co.uk/insights/bridging-finance-exit-strategy-guide) - [Regulated vs unregulated bridging](https://www.cashbookfinance.co.uk/insights/regulated-vs-unregulated-bridging-loans) --- Cashbook Finance. Cashbook Finance Limited is registered with the Financial Conduct Authority under Firm Reference Number 782472. Company number 10723098. Registered office: Cumberland House, 24–28 Baxter Avenue, Southend-on-Sea, Essex SS2 6HZ. Registered with the Information Commissioner’s Office under reference ZB545200. All finance is subject to eligibility, satisfactory due diligence, credit approval and agreed terms. Invoice finance, trade finance and bridging finance may not be suitable for every business. The availability, structure, amount, pricing, fees, security requirements and completion timescales of any facility will depend on the applicant’s circumstances, the quality of the supporting evidence provided and our assessment of the proposed transaction. Any figures, examples, rates or timescales shown on this website are for illustrative purposes only and do not constitute an offer, commitment or guarantee of finance. Terms and conditions apply. Bridging finance is secured against property. Your property may be repossessed if you do not maintain repayments on a loan secured against it. Applicants should obtain independent legal, financial and tax advice where appropriate.