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Bridge to Rental Loan

Our Bridge to Rental Loan is perfect for the investor who plans on purchasing a property, improving it, placing a tenant, then refinancing into a longer term loan (to borrow the nickname from Brandon Turner at Bigger Pockets-BRRR strategy).


10% Interest

Annualized 10% interest only on the entire loan amount, paid monthly.  EX: $100,000 Loan Amount would cost $833.33 per month

2 Points

A point is 1% of the total loan amount.  Ex:  $100,000 loan amount would incur a one time charge of $2,000.  We call these point are our Loan Fee.  Some lenders call these Origination Fee, but (outside of the interest mentioned above).  Construction loans are charged 2.5 Points, most other first position loans are 2 Points.

Other Fees

  • $0.00 Application fee
  • $0.00 Underwriting Fee
  • $0.00 Doc. prep/legal fee*
  • $0.00 Appraisal fee*
  • $0.00 Servicing fee
  • $0.00 Prepayment Penalty
  • Quick Closing Fee:
    • $500 Loan request within 7 days of closing
    • $1000 Loan request within 5 days of closing

You will not find any other fees in our business model.

Loan Amount

65-70% LTV

This means we will lend up to 70% of the existing value of the property.  Our property valuation determination is typically done “in house.”  Unlike many lenders we don’t typically need an outside appraisal on your property.  We know most metro markets and can, when given enough information determine the value very quickly.  

80% Loan to Purchase Price

We typically will lend up to 75% of the purchase price of the property.  We will consider lending up to 85% in some cases with experience and/or excellent borrower credit.  See below for how to borrow 100% of purchase price.  

100% of Construction Costs

We will lend up to 100% of construction costs.  Please see details below.

Know Your Exit Strategy

We always recommend that our borrowers understand, and even get pre-qualified with a “take out” lender to refinance your acquisition loan.  While we can offer this service (for a lower fee than our other loans), we typically refer borrowers to a more conventional lender who can do this for an even lower price.  Guidelines are changing constantly, and knowing this information (even before you go under contract) is highly recommended.  It’s important that your refinance lender really understands this special niche of financing (as most lenders don’t!).  We are happy to make a referral.

Done correctly, this strategy will allow an investor to borrow most of the purchase and the rehab costs, allowing them to move on to the next deal (the last R in the BRRR strategy-Repeat!!)