Bridge Loans

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We can typically fund bridge loans in 5-10 business days after receiving a complete application package. For urgent situations and straightforward deals, we can sometimes close in as few as 3 business days. The timing depends on several factors including property documentation, title work, and appraisal scheduling.

We typically offer bridge loans up to 75% LTV for most commercial properties. However, the exact LTV depends on several factors:

• Property type and location
• Property condition and occupancy
• Borrower experience and credit profile
• Strength of exit strategy

For stabilized, income-producing properties in prime locations, we may consider higher LTV ratios on a case-by-case basis.

We accept several exit strategies for bridge loans, including:

• Refinance: Securing permanent financing after improving the property or its cash flow
• Sale: Selling the property after increasing its value through renovations or improved occupancy
• Recapitalization: Bringing in equity partners or investors
• Debt Paydown: For borrowers with significant incoming capital from other sources

Your exit strategy should be realistic and well-documented as part of your loan application.

Yes, most of our bridge loans require monthly interest-only payments, which helps keep your carrying costs manageable during the loan term. The principal balance is typically due as a balloon payment at loan maturity.

In some cases, we can structure loans with interest reserves, where a portion of the loan amount is set aside to cover the monthly interest payments. This can be beneficial for properties undergoing significant renovation or that aren't yet generating income.

We understand that projects sometimes take longer than anticipated. If you need additional time at the end of your bridge loan term, we offer extension options, typically in 3-6 month increments. Extension fees generally range from 0.5-1 point of the outstanding loan balance.

To qualify for an extension, you'll need to:

• Be current on all loan payments
• Demonstrate significant progress toward your exit strategy
• Provide an updated timeline for loan repayment
• Pay any applicable extension fees

It's best to communicate with your loan manager well before the maturity date if you anticipate needing an extension.

Our bridge loan application process requires the following documents:

• Completed loan application
• Executive summary of the investment strategy
• Purchase contract (for acquisitions)
• Current rent roll and operating statements (for income-producing properties)
• Detailed renovation budget and timeline (if applicable)
• Color photos of the property (interior and exterior)
• Borrower's financial statements and real estate schedule
• Two years of tax returns
• Detailed exit strategy

Our team will guide you through the documentation process to ensure a smooth and efficient closing.