Receivers and administrators sell quickly and give no warranties about the property. Completion is usually 28 days from exchange, with a 10% deposit paid at exchange. Have the legal pack reviewed by a solicitor who knows receivership sales, and get your bridging application in before you bid or exchange. Simple cases can complete in days, but nothing is guaranteed.
7 min read · Updated October 2026 · Reviewed by Ashley Thomas, Director
Get terms before you bid
How much do you need to borrow?
About 90 seconds in all. No credit check until you choose a lender. Capito is a broker, not a lender.
Most distressed property comes from one of three sellers, and knowing which one you're dealing with tells you how much information you'll get.
Receivers sell without warranties because they don't know the property and won't take personal liability for it. They must get the best price reasonably obtainable, but they also want a quick, clean sale so they can repay the appointing lender.
So you buy "as seen": usually no title guarantee, short or "not known" replies to enquiries, and a contract saying you've relied on your own inspection and searches.
Receivers use both. On private treaty, the agent often asks for best and final offers by a set date, or runs a contract race where the first buyer to exchange wins, so being ready with finance in progress often decides it.
At auction, contracts exchange on the fall of the hammer; our auction finance guide covers how that works.
Receivership contracts protect the seller, so your solicitor should read the special conditions line by line. The ones that most often affect cost or timing are:
This is general information, not tax advice; speak to your accountant about VAT.
Your solicitor will check the charge, the deed of appointment and whether the power of sale had arisen, because a sale by someone without proper power can leave title open to challenge.
Where a defect can't be fixed in time, the usual answer is title indemnity insurance, which covers the loss if someone later challenges the title. Some lenders may insist on it before they'll release funds. Indemnity cover can also speed things up: with title insurance in place, completion can be within about a week, against around 3–4 weeks with full searches (typical, not promised).
Lenders look at the same things as any bridging case, with extra caution because there's less information. The valuer may mark the property down if they can't inspect fully or the building has been empty for months.
The exit matters most: a lender wants to see how you'll repay, by refinancing or selling, and that the numbers work at their valuation. On Capito's panel, bridging can reach up to 80% gross LTV, mostly on residential property, and up to 75% on purely commercial property. See our bridging exit guide for how to plan repayment, and bridging loan costs for the fees to budget.
You agree £400,000 for a vacant commercial unit from an LPA receiver and pay a £40,000 deposit at exchange. You've planned on a lender advancing 65% of value, which would be £260,000. The valuer, working with limited information on an empty building, comes back at £360,000, so the advance falls to £234,000.
You now need £166,000 of your own money rather than £140,000, before fees, and the extra £26,000 has to be found inside the same 28 days.
Yes. Most bridging lenders lend to limited companies and special purpose vehicles, and many investors prefer it, though lenders will usually ask the directors for personal guarantees and want ID for each director and shareholder.
Most receivership stock is sold through the receivership teams at commercial and residential agents, who often keep investor mailing lists. Auction catalogues are another source, and some buyers register their requirements directly with receivers and insolvency practitioners, which can lead to off-market deals. You'll be up against experienced buyers, so speed and proof of funds count.
If there are tenants, your solicitor should check the leases, arrears and break clauses, because the rent roll drives both value and the lender's view. If an administrator sells a trading business with the property, TUPE may transfer the staff and their employment rights to you. Industrial and older sites can carry environmental risk, and lenders may ask for an environmental report before lending.
Ashley Thomas, Capito's Director, sees the same pattern: buyers who make the deadline have the property details ready, get the legal pack reviewed by an experienced solicitor, and get a finance application in before they bid or exchange. Those who struggle tend to wait too long to start.
He also stresses using a solicitor who has done receivership sales before and turns paperwork round quickly.
Lenders differ here: some will give an initial approval on receiver stock before exchange, while others wait until their solicitor has reviewed the legal pack, so ask which approach yours takes before you bid.
Sometimes, though the receiver will still want the best price. Refinancing may be a better route than buying back, and our guide to refinancing a property in LPA receivership explains how. Take independent legal advice before doing either.
If you or a close family member will live there, the loan is likely to be regulated, and Capito passes regulated cases to an FCA-authorised firm. See regulated vs unregulated bridging.
You'd be in breach of contract and could lose your deposit, which is usually 10%. Depending on the special conditions, the seller may also claim interest, costs or any shortfall on a resale, so check them with your solicitor.
It can be, if you go in knowing the seller gives no warranties and have a good solicitor review the legal pack.
Not always, because receivers must seek the best price reasonably obtainable.
Sometimes, but a standard mortgage rarely completes within 28 days, so most buyers bridge and refinance later.
Yes. Most bridging lenders lend to companies and SPVs, usually with personal guarantees from the directors.
A one-off policy covering loss if the title is later challenged, for example over a defect in the receiver's appointment.
Buying from a receiver? Send us the details before you bid, and a specialist will tell you what lenders are likely to need.
Get bridging termsCapito is a Commercial Finance Broker, not a lender. Capito Finance Limited is not authorised or regulated by the Financial Conduct Authority and does not arrange regulated mortgages. If you or a family member will live in the property, the loan is likely to be regulated and we refer you to an authorised partner firm.
Finance is subject to the lender's assessment. Your property may be repossessed if you do not keep up repayments on a mortgage or any other debt secured on it.
About 90 seconds to tell us what you need. No credit check until you choose a lender.
Get bridging terms