Need a Spanish interpreter? Text us to arrange a phone call. Interpreter assistance is available by appointment only.
When a bridge may fit
A bridge may support an acquisition, refinance or eligible business-purpose equity need when a property is not ready for the intended long-term financing. The asset, timing and exit strategy determine whether a bridge deserves review.
A rent-ready acquisition and a property needing substantial renovation are different requests. Explain the planned work early so the loan structure matches the project. A general bridge loan does not automatically include a rehabilitation budget.
Understand the short-term obligation
The loan may have interest-only payments and a balance due at maturity. Interest-only payments do not pay down the principal. A sale or refinance must be possible on the terms and timeline you can actually achieve.
Review maturity, extensions, fees, default provisions and any early-payoff terms. An extension is not automatic, and a future permanent loan is a separate approval. Keep a backup plan for delays, vacancy or a lower-than-expected value.
Leverage depends on more than the purchase price
The lender may limit both loan-to-value and loan-to-cost. The applicable limit can change with investor experience, transaction purpose and the property. A refinance or cash-out ceiling can be lower than a purchase ceiling.
Cash for closing, interest, reserves, carrying expenses and any work not financed remains important. A high advance percentage does not prove that you can complete the project without your own funds.
Prepare a clear property and exit file
Bring the contract or current ownership information, property condition, current and expected use, valuation support and your timeline. Existing liens, title, entity structure and your investment experience need review.
If the exit is a rental loan, consider likely rent, future DSCR and seasoning before relying on that refinance. If the exit is a sale, use realistic time and cost assumptions rather than the most optimistic comparable.
Compare the bridge with the final financing goal
A property already eligible for permanent rental financing may not need an interim loan. A renovation project may fit a dedicated rehab structure. The useful comparison includes the cost of both the bridge and the planned exit.
I can help organize the loan options around the project. These are non-owner-occupied business-purpose scenarios; financing for buying your next personal home before selling is a separate review.
Options and eligibility to compare
Compare the option that fits your credit, loan amount, property and documentation. Each has its own requirements, and the full application must qualify.
Acquisition with limited investor history
Credit and underwriting: 650 or higher; property and full business-purpose review.
Financing and amount: Up to 75% purchase loan-to-value and loan-to-cost. The loan amount is subject to the property and complete review.
Income and property: Non-owner-occupied one- to four-unit property, eligible condo or townhome; zero to four investment properties in the last three years; minimum property value $100,000.
Benefits and conditions: Short-term financing. Carrying costs, liquidity, final repayment and state/property eligibility need review.
Experienced-investor acquisition
Credit and underwriting: 650 or higher; experience and project review.
Financing and amount: Up to 80% purchase loan-to-value and loan-to-cost. The loan amount is subject to the property and complete review.
Income and property: At least five investment properties in the last three years; eligible non-owner-occupied one- to four-unit property, condo or townhome; minimum property value $100,000.
Benefits and conditions: Higher purchase leverage is tied to experience. Refinancing and cash-out follow separate limits and require their own review.
Compare the alternatives
Compare long-term rental financing when the property is already eligible.
Review a dedicated purchase-plus-rehabilitation option for a renovation project.
What to gather for a useful conversation
Acquisition contract or current payoff
Property condition and valuation evidence
Entity and ownership documents
Investment history
Exit plan, timeline and liquidity
Frequently asked questions
Is this for buying my next primary home?
This page describes investment-property business-purpose financing. A personal buy-before-you-sell bridge is a different structure.
Is an extension guaranteed?
No. Extension availability, approval and cost depend on the agreement and circumstances.
Does bridge approval guarantee the refinance?
No. The exit loan has its own future credit, property, rent, value and underwriting requirements.
Related mortgage learning
Second home or investment property? Start with how you will use it
Why your mortgage payoff differs from your statement balance
Authoritative resources
CFPB explanation of interest-only payments
CFPB explanation of prepayment penalties
Talk through your Ohio mortgage options
Call or text Gordon Hinchen at (440) 975-6216. Start with your plans and general questions. Use our secure application process for financial documents.
Educational information only. Not a commitment to lend or a guarantee of approval. Eligibility, availability and terms depend on the complete application, property and underwriting review. DRG Mortgage, LLC | NMLS #2657603 | Gordon Hinchen | NMLS #2751302 | Ohio residential mortgage brokerage services only | Equal Housing Opportunity.