Uploaded on Jul 7, 2021
A bridge loan is a short-term form of financing that is used to meet current obligations before securing permanent financing.
Ultimate Guide to Bridge Loan
Ultimate Guide to Bridge
Loan
What is Bridge
Loan?
A bridge loan is a short-term
form of financing that is
used to meet current
obligations before securing
permanent financing.
Source:
https://corporatefinanceinstitute.com/resources/knowledge/fi
nance/what-is-bridge-loan/
Key Takeaways
● Bridge loans are short term,
typically up to one year.
● These types of loans are generally
used in real estate.
● Homeowners can use bridge loans
toward the purchase of a new
home while they wait for their
current home to sell.
Source: https://www.investopedia.com/terms/b/bridgeloan.asp
Average Fees for Bridge Loan
US$85
0
US$47
5
US$45 US$45
0 0
US$75
US$40
Admin Appraisa Escrow Title Wiring Notary
l Policy
Source: https://www.thebalance.com/what-are-bridge-loans-1798410
Interest Rate on
Bridge Loan
The prevailing interest rates
on bridge loan is between
12% to 18%. The borrower
must bear the processing
fees for this loan. It typically
ranges between 0.35% - 2%
of the loan amount. There
are no prepayment penalty
on this loan.
Source: https://www.creditmantri.com/bridge-loan/
Commercial Bridge Loans Risks to Consider
Bridge Loans Not All Banks Offer
are Time- Commercial Bridge Loans
Sensitive
It is commonplace that the One of the major commercial
timeline of a loan will vary. bridge loan risks is that
As bridge loans are commercial bridge loans are
structured for clients in need niche
of a timely financial solution, . In other words, not every
the loan timeline is shorter lender offers commercial
compared to other loans. bridge loans.
Source: https://avanacapital.com/news-events/commercial-bridge-loan-risks
Are you looking for
a reliable
commercial bridge
loan lender?
Contact Private Capital Investors team,
who will guide you through the risks and
benefits of commercial bridge loans and
help you find the best solution for you.
Apply for Bridge Lo
an
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