Bridge loans are short-term loans, typically taken out for a period of 2 weeks to 3 years pending the arrangement of larger or longer-term financing.
Standard Loan Terms
- Max Loan Amount: $5,000,000
- Max LTV: 70% of appraised value or Purchase price (The lowest)
- Rate: 7.5%-8.99%
- Term of loan: 12-24 months
- Payments: Monthly interest payments with the balloon at maturity
- Prepayment penalty: None
- Single-family residences.
- Two to four units.
- Multifamily homes.
- Other property types case by case.
- Last 2 bank statements (US bank account)
- Copy of ID and Borrowing Entity docs
- Purchase Contract (If Purchase)
- Property Insurance
Standard Closing Costs:
Origination Fee: 1-2%
Underwriting Fee: $1,500
Legal: $750 – $1,500
Appraisal Fee: $500-$950
Title Insurance and recording fees: 1% (Approximate)