Bridge Loans

Financial concept

If you are in the market for loan programs designed specifically for transitional and stabilized commercial real estate assets, look no further than LP Capital Group. Our company has the experienced and knowledge to provide the commercial bridge loan funding you need. Since our inception, we have been offering flexible, short-term financing solutions within the commercial mortgage market.

Understanding Bridge Loans

Also known as hard money loans, bridge loans enjoy significant popularity in certain types of real estate markets. They are temporary loans designed to bridge the gap between an investor’s new mortgage and the sales price of a new commercial property, in the event the buyer’s current property has not yet sold. The bridge loan is then secured to the buyer’s existing property. The funds from the loan are then utilized as a down payment for the move-up property.

Today, there are four types of bridge loans. They include:

  • Second charge bridging loans
  • First charge bridging loans
  • Open bridging loans
  • Closed bridging loans

A first charge bridging loan, for example, is designed to provide the lender a first charge over the property. They will receive their money first before other lenders. What’s more, it attracts lower interest rates due to the low level of underwriting risk.

Why Should You Get Bridge Loans?
  • Nimble specifications: Unlike traditional loans, bridge loans have no concrete specifications. Investors can negotiate with alternative lenders to structure the right bridge loan for their business.
  • Flexible terms of repayment: In certain cases, your real estate collateral may have adequate interest reserve. This means that a larger loan can be granted, thus you receive more flexible payback options.
  • Buyout partners: A bridge loan can also be used for partner buyout to pursue other business opportunities. This move benefits you as a sole proprietor of your real estate business.
  • Receive sufficient investment funding: You no longer need to worry about having a lack of investment funding. Bridge loans can fill the gap and provide you with the required capital while waiting for your commercial property to be sold on the market.
  • Swift execution: Traditional lending institutions do not possess the flexibility to respond quickly when a loan is required for an investment opportunity that’s briefly available. Bridge loans can be set up quickly, allowing you to take advantage of such offers.
How LP Capital Group Can Help for Bridge Loans

LP Capital Group’s bridge loans have the following features:

  • Loans from $1MM to $5MM
  • Loans for acquisition or refinancing
  • One- to three-year Primary Term
  • Up to 75% LTV on a stabilized basis and 80% on the LTC of acquiring the asset
Why You Should Work with LP Capital Group for Bridge Loans

At LP Capital Group, our team of professionals possess well-rounded experience and unmatched expertise within the commercial real estate industry. When it comes to bridge loans, you can rest assured that we can serve you with the right solution that is both cost-effective and the best fit for you. Whether you require bridge loans to acquire a property in New Jersey or Pennsylvania, we have got your back.

If you need to apply for a bridge loan, do not hesitate to call us at (201) 690-9260 today for more information!