Last time we talked a little more about bridge loans. Today we’d like to concentrate on Bridging Loans, which, like Bridge Loans, are intended to assist the borrower with filling a financial gap. Bridging Loans are typically short term and in most cases are based on solely on interest. A major perk of these loans is that they can be agreed upon within a relatively short amount of time, which makes them ideal if the applicant has a situation where time is of the essence, such as a property closing date, for example.
Bridging Loans are based on a property’s value and the applicant’s ability to pay it back, also known as the “exit strategy”. While the ability remains important, it is not as critical a factor as it would be when applying for a basic mortgage. Because of this, decisions can be made quickly when it comes to receiving loan approval.
The terms for most Bridging Loans are often as little as twelve months to three years, with an LTV of nearly 70%. However, there is the possibility of securing 100% LTV with additional security. Bridging Loans do not have any early repayment fees attached to them.
Do you need money fast? Get in touch us and we’ll be happy to tell you more about Bridging Loans.
This update is provided to you by Park West Capital. We have over a decade of experience specializing in real estate financing and commercial lending opportunities. We have assisted numerous clients with growing their real estate portfolios and providing the funding resources. We firmly believe in accountability, excellence, integrity, entrepreneurship, and teamwork. Contact us at 888.808.9417 to learn more about how we can professionally assist you with your investing needs or fill out our hard money loan application and we’ll get in touch with you.