# 24-Hour Bridging Loan Singapore: What Happens Between Enquiry and Term Sheet

Insights article · Singapore · Published 2026-07-25 · Updated 2026-08-13

> You have a deadline and TDSR will block the bank. A private lender can issue a 24-hour bridging loan term sheet. Here is why that is structurally possible, what to bring on day one, and what the full timeline to drawdown looks like.

You have a deadline. The OTP is ticking, the seller will not extend further, or a co-investor needs your confirmation by the end of the week. You already know the bank will not move in time: TDSR applies, your income structure is complex, and even a clean case takes six to eight weeks. So you call a private lender and hear "term sheet in 24 hours". That phrase deserves unpacking before you rely on it.

The 24-hour bridging loan is real. It is not faster because the lender is taking shortcuts. It is faster because the underwriting model is structurally different: it begins and ends with the asset and the exit, not your income. Understanding that difference tells you what to prepare before your first call and what to expect at every stage through to drawdown.

> **Why this matters:** For TDSR-blocked borrowers, a private lender's 24-hour term sheet is not a marketing claim but a structural reality: asset-first underwriting removes the income-verification bottleneck that makes banks take weeks rather than hours.

## Highlights

- Term sheet issued within 24 hours of receiving complete information
- Underwriting against the asset and exit; TDSR does not apply
- Loan size $1M to $100M; LTV up to 70%; term 3 to 24 months
- Drawdown typically 2 to 3 weeks; urgent cases inside 7 days where documentation is clean
- Eligible security: residential, commercial, and industrial property in Singapore
- Accredited investors and corporates only
- [Talk to a specialist](https://www.rikvincapital.com/sg/contact-us)

## Why Banks Take Weeks, Not Hours

The [TDSR framework](https://www.mas.gov.sg/regulation/explainers/tdsr-for-property-loans) requires banks to verify your total debt service obligations against declared income before approving any property-secured loan. That means income documents, a credit bureau pull, a formal valuation through the bank's approved panel, and credit committee sign-off. These steps run sequentially, each contingent on the one before. Eight weeks is the optimistic estimate for a complex borrower profile.

The bottleneck is not the valuation or the legal title search. It is the income-verification layer that must clear before anything else moves. If TDSR comes back too high, or the income is irregular, held through an SPV, or structured inside a trust, the application stalls before it reaches the valuers. Our article on [bridge loans without TDSR in Singapore](https://www.rikvincapital.com/sg/insights/bridge-loan-without-tdsr-singapore) covers the mechanics in detail for borrowers navigating that constraint.

## Why a Private Lender Can Issue a Term Sheet in 24 Hours

A private lender operating outside the TDSR regime removes the income-verification layer entirely. Underwriting centres on three variables: the property value, the LTV, and the exit.

The **property value** establishes whether sufficient security exists. We can work from a desk estimate initially, with a formal independent valuation to follow. The **LTV** (up to 70% on qualifying Singapore residential and commercial property) sets the loan ceiling relative to that value. The **exit** is the repayment path at maturity: a confirmed or anticipated sale, a refinance into a mainstream mortgage, or a liquidity event. It receives the most scrutiny because it determines whether the borrower can clear the bridge cleanly at term.

No income committee, no credit scoring model, no sequential department approvals. An experienced credit officer can form a preliminary view within hours of receiving complete information. Our [full range of Singapore bridging loans](https://www.rikvincapital.com/sg/bridging-loans) sits on this same underwriting model regardless of asset class or loan size.

## What to Bring on Day One

The 24-hour turnaround depends on you as much as on us. A missing document adds a day; missing something critical can add several. Bring the following on your first call or message:

- **Property details:** address, tenure (freehold or leasehold), approximate value, and any existing mortgages
- **The loan request:** amount required, purpose, and the date by which you need drawdown
- **Your exit:** specifically how you will repay at maturity (a target sale price, a named bank you plan to refinance with, or the expected date of a disposal or liquidity event)
- **Entity structure:** individual, joint, or corporate (SPV or operating company)
- **KYC documents:** NRIC or passport copy, proof of address; company registration and a director resolution if borrowing through a corporate entity
- **Source of funds:** a brief written explanation, required under anti-money-laundering obligations

You do not need a Notice of Assessment, payslips, or audited accounts. That is the structural point of a 24-hour bridging loan: the asset and the exit replace the income test. For an overview of how bridging finance compares to a bank loan from first principles, the [bridging loans in Singapore guide](https://www.rikvincapital.com/sg/insights/bridging-loans-singapore) covers the full picture.

![Singapore shophouse street facade, commercial asset class eligible for short-term bridging finance](https://media.rikvincapital.com/rikvin-media/unsplash-1784772569200-690.jpg)
*Shophouses and other commercial assets follow the same asset-first model: a valuation and a credible exit are the two things that matter.*

## Two Milestones You Should Not Conflate

"24-hour term sheet" and "drawdown in two to three weeks" are different things, and treating them as the same creates surprise at the worst moment.

The **term sheet** is an indicative offer: the loan amount, LTV, interest rate, tenor, and key conditions including the rolled-up interest structure. It is not a binding commitment and does not release funds. It confirms the deal is viable on those terms, so you can instruct your solicitor and move into formal due diligence. All terms are indicative and subject to formal valuation.

After you accept the term sheet:

- A formal property valuation is commissioned (typically two to five working days)
- Legal due diligence begins: title searches, outstanding charge checks, OTP or sale and purchase agreement review
- Your solicitor and ours draft, negotiate, and execute the facility agreement and charge documents
- Funds are released to your solicitor's client account on completion of legal formalities

Total elapsed time from term sheet acceptance to drawdown: **two to three weeks** for a straightforward case. Where the deadline is acute (an expiring OTP or a court-ordered completion date), we target drawdown **inside seven days** if documentation is complete and both legal teams commit to the pace. [When your bank is too slow for your OTP](https://www.rikvincapital.com/sg/insights/otp-deadline-bank-too-slow-bridge-finance-singapore) walks through how that compressed timeline works in practice.

Related: see how we funded [$25 million for a time-critical acquisition in a single weekend](https://www.rikvincapital.com/sg/case-study/weekend-rescue-how-we-delivered-25-million-bridge-funding-for-a-billionaires-acquisition), a case where the documentation groundwork was already in place before the call came in.

For the full step-by-step sequence from first enquiry to drawdown, [our lending process](https://www.rikvincapital.com/sg/process) covers each stage.

**When a bridge is not the right instrument:** if your exit is genuinely unclear, or you need more than 24 months, the cost of a bridging loan outweighs the benefit of its speed. The rate is higher than a bank mortgage and the tenor is short by design. The tool works when the cost of speed is lower than the cost of missing the deadline; it is not a standing substitute for term finance.

## Frequently asked questions

### Is the 24-hour term sheet a firm commitment to lend?

No. It is an indicative offer, subject to formal valuation and due diligence. Think of it as a conditional green light: if the property and title come back consistent with what you described, the terms stand. The binding commitment is the signed facility agreement. Terms are always indicative at this stage.

### What if I cannot produce clean proof of income?

That is largely beside the point. We lend against the property and your exit, not income. You still need standard KYC documents (identity, address, and a source-of-funds explanation) as required under anti-money-laundering rules, but a Notice of Assessment or payslip is not part of our underwriting.

### Can a company or SPV borrow through this facility?

Yes. We lend to accredited investors and corporates, including Singapore-incorporated SPVs and operating companies. You will need company registration documents, a director's resolution authorising the borrowing, and corporate KYC. The underwriting criteria are the same; the legal documentation adds a layer for the entity structure.

### How does interest work if I am not servicing it monthly?

Interest is typically rolled up and repaid at maturity. This removes cash-flow pressure during the loan period, and the total cost is known from the term sheet. Indicative rates and the precise structure are confirmed in the formal offer, subject to valuation and due diligence.

### What happens if the property already carries a bank mortgage?

A first-charge requirement is standard. Where an existing mortgage is outstanding, our loan proceeds typically discharge it on drawdown day, with our first charge registered simultaneously. Your solicitor and ours coordinate the discharge and new registration to occur on the same day, leaving no gap in the security position.

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