Buying
Property Purchase Bridging Buy your new home before your current one settles. Auction Finance Pre-approved funds so you can bid with confidence.Timing & value
Settlement Gap Finance Cover the overlap when settlements don't align. Renovation Loans Fund improvements before refinancing to a bank.Commercial
Business Bridging Short-term capital for cash flow and stock. Development Finance Subdivisions and small developments, funded fast.Not sure which fits?
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Get a quote →The basics
What is a bridging loan? How bridging finance works Open vs closed bridging Bridging vs home loan Buy before you sellCosts & criteria
Interest rates & fees Eligibility & LVR Peak debt vs end debt Exit strategies explained Glossary of termsStart here
The complete bridging finance Knowledge Hub
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Open vs closed bridging loans
One word in your application changes your LVR, your rate and your term. Here's which one you are, and what it's worth to change it.
Last reviewed 9 August 2026 · Bridging Loans Brisbane lending teamShort answer
Closed bridging means your existing property is already under an unconditional contract with a settlement date — the repayment date is known, so pricing and LVR are at their best. Open bridging means it isn't sold yet, so the lender carries timing risk and prices for it.
The two structures side by side
Sale already unconditional
Your existing property is under an unconditional contract with a settlement date. The lender knows exactly when the facility is repaid, so the assessment is fast and the pricing is sharp.
Typical use: your sale settles three weeks after your purchase, and you need to cover the overlap.No sale contract yet
Your existing property may not even be listed. The lender is underwriting a future sale at an estimated price, so expect a tighter LVR, a longer term and a higher rate.
Typical use: you found the right property first and can't wait to list before you buy.What actually differs
Which one are you?
Work down the list. The first line that matches is your answer.
Moving from open to closed mid-facility
Short answer: when your sale goes unconditional, send the contract to your lender. That single document often improves your terms and lets the term be aligned to the real settlement date.
It's worth doing even late in the facility. A repriced final two months, or a released buffer, is money back in your pocket — and it removes the extension conversation entirely.
If you're only weeks from listing, ask us to model both structures before you commit. Occasionally waiting three weeks for your contract to go unconditional saves more than the delay costs — and occasionally it costs you the property. We'll tell you which.
Have both modelled →Open vs closed questions
What is the difference between open and closed bridging finance?▼
Closed bridging is used when your existing property is already under an unconditional sale contract with a known settlement date, so the repayment date is certain. Open bridging applies when the property is not yet sold, which carries more uncertainty and usually means a tighter LVR, a longer term and higher pricing.
Is closed bridging cheaper than open bridging?▼
Yes, typically. With an unconditional contract the lender knows when it is repaid, so the risk premium falls. The same borrower can often improve both rate and LVR simply by waiting until their Queensland contract has gone unconditional.
Can an open bridging loan become closed?▼
Yes. Once your existing property is under a contract that has gone unconditional, provide the contract to your lender. Many facilities allow a repricing or a reduced buffer at that point, and the term can be aligned to the new settlement date.
How long can an open bridging loan run?▼
Open bridges are commonly written for six to twelve months to allow for a full sale campaign, and can extend to twenty-four months. Closed bridges are usually much shorter, matching the weeks between your purchase and sale settlements.
Does an auction purchase make my bridge open or closed?▼
That depends on your existing property, not the one you are buying. Winning at auction makes your purchase unconditional; your bridge is still open until your own home is under an unconditional contract.
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The complete bridging finance guide
Every page below stands on its own. Start with the Knowledge Hub if you want the whole picture in one read.
Bridging basics
What is a bridging loan? How bridging finance works ▸Open vs closed bridging Bridging loan vs home loan