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2022-11-07 12:47 pm

Bridging Loan

A home loan to fill the gap between buying or building and selling.

Bridging loan with the clean money bank

If you're waiting to sell property and you’re buying or building another, that’s where our Bridging Loan could help. It's available for up to 12 months.

When your old property sells, you pay back the loan in full plus interest, or convert any amount remaining to another home loan. It makes managing your money easier – no need to make double the repayments while you wait.

Our rates

Finder Green Awards 2023
Green Bank of the Year
Best variable rate
LVR of ≤ 75% applies
Effective 12 March 2024
Comparison rate
Based on a loan of $150,000 for 25 years
Fees and charges may apply
Comparison rate warning
View full rates table
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Why choose this loan?

  • Up to 12-month loan term
  • No monthly fee
  • No 1st valuation fee

Is this product right for you? Find out more

Signature features

"We are proud to be with Bank Australia knowing it’s an ethical choice that supports a healthy environment."
Marnee and Diego from NSW
This simple loan bridges the gap between buying and selling or building. It could be just what you need while navigating an otherwise complicated time.

Standard features

Learn about the features and functions of our Bridging Home Loan, from what it covers to who can apply.

What it covers

How it works is that the loan can cover 3 things – the amount owing on the existing property, the contracted price for the new one, plus any legal fees and other purchase costs involved. 

Up to 12-month term 

To give you time to sort out the sale and settlement of your current home, this bridging loan lasts up to a year. We don’t charge fees if you pay it off sooner.

Buy or build

It’s not just for property purchasing. If you’re starting out on a new construction and your existing sale is yet to go through, there’s no stopping you from applying. 

Interest and repayments 

Interest is calculated daily. At the end of the loan term, you repay this plus the amount you borrowed – or you can convert the loan to another Bank Australia home loan

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What happens when you sell your old home?

When you reach settlement on your old home, there are 2 ways our Bridging Loan can play out. Either way, we can help you make the change.

You could take this route if your old home sells for more than the loan amount.

If you still have debt with the new house, your Bridging Loan can convert to another home loan.

Above: Reece Stubbs, General Manager of The Sociable Weaver and Bank Australia customer

Customer story

Reece is building sustainable homes

"It’s quite amazing to see the amount of carbon that’s reduced by building a 7.5+ or 8.5+ star home.”

Read more

Fees and charges

Here's what to expect with our Bridging Loan. Be sure to factor in related costs - like stamp duty, legal fees and building reports.
What it's for
Establishment fee (new Bank Australia home loan)
Establishment fee (existing Bank Australia home loan)
Monthly fee
1st valuation fee
Additional valuation fee
Variation fee
Discharge fee
$250 + government fees

See all fees and charges

More than a bank

Sure, Bank Australia has a user-friendly app, internet banking, and all the other things you’d expect of a customer-focused bank. But we’ve got so much more, too.

We’re 100% customer-owned, which means you have voting rights. We don’t pay our execs bonuses, which means more funds are used to support people and the planet. And we’ll never use your money (or anyone’s, for that matter) to fund harmful industries like fossil fuels, live animal exports or nuclear weapons.

Find out more
Sheep grazing in an open field with wind turbines in the distance.

Money, People & Planet

See more at the Bank Australia blog
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Things you need to know

* Comparison Rate. The Comparison Rate is based on a loan of $150,000 for 25 years. Fees and charges may be applicable.

IMPORTANT: The Comparison Rate applies only to the example given. Different amounts and terms will result in different Comparison Rates. Costs such as redraw fees, early repayment fees, and cost savings such as fee waivers, are not included in the Comparison Rate but may influence the cost of the loan.

  1. Terms and conditions, fees and charges apply. Loans subject to normal lending criteria and approval. Rates apply to new applications received from 12 March 2024 however are subject to change at anytime.