Bridge Loans

Indiana Local Biz is a bridge loan lender who has been providing real estate investors with hard money bridge loans for many years. Offering fast approvals and funding, competitive rates and reliable service, Gokapital has established themselves as one of the top hard money bridge loan lenders in Miami. Contact Gokapital. now and get your bridge loan funded fast.

  • Loan Application Approval Timeline    Same day approval available
  • Time to Fund Loan As few as 3-5 days if needed
  • Property Types Single family, multi-family, commercial, industrial
  • Loan Amounts $30,000 – $2 Million+
  • Loan Terms 3 to 11 months
  • Lien Position 1st, 2nd
  • Loan to Value (LTV) Up to 75% of current value of property
  • Bridge Loan Interest Rates and Points   Please contact us for information on current rates and points
    Hard Money Bridge Loans

A bridge loan is a type of loan used for short-term financing. Bridge financing typically has a term from one month to 11 months. Bridge loan rates are higher than traditional institution loans due to the increased risk. Bridge loan lenders are less concerned with the credit worthiness of the borrower since the bridge loan is secured by property. This is beneficial for borrowers who may currently have less than ideal credit but have equity in property.

Bridge loans have lower loan to value (LTV) ratios than traditional mortgages obtained from banks in order to protect the lender from a borrower defaulting. The bridge loan lender will generally only allow for a loan to value ratio of 70-75%. The loan amounts available for a bridge loan can range from a relatively small amount of $25,000 to a jumbo bridge loan in the millions of dollars. The borrower may sell the property or arrange other long-term financing in order to pay off the bridge loan.

Residential Bridge Loans and Commercial Bridge Loans

Residential bridge loans and commercial bridge loans are both gaining popularity as a way to quickly acquire cash in order to take advantage of short-term real estate opportunities. Commercial bridge loans generally have a lower LTV than residential bridge loans and the bridge loan lenders will require additional information and documentation.

A bridge loan may also be called a bridging loan, gap financing, interim financing or a swing loan.

Bridge Loan

An example of a traditional bridge loan would be when an investor owns a property and wishes to purchase a new property. The investor doesn’t have sufficient funds to purchase the new property but needs to secure the new property before selling the existing property. The investor is able to use bridge loan financing to borrower against the property they already own to raise funds for the purchase of the new property.

Once the new property is purchased, the investor can sell their original property and pay off the bridge loan. The bridge loan “bridges the gap” between the purchase of the new property and the sale of the existing property.

We are an experienced hard money bridge loan lender. Contact us now to see how we can help you with your real estate financing needs.