A bridge loan (BL) is a short-term loan for funding real estate transactions. Borrowers typically use bridge loans for an “acquire and improve” strategy. Once rehabilitated, the owner can sell the property or retain it for commercial rental income or owner occupancy. Today, many investors are seeking bridge loans in place of conventional financing that's been pulled or paused due to the sudden change in the financial markets.
As an interim loan, a commercial mortgage bridge loan (CMBL) provides financing while the borrower waits for long-term arrangements. A bridge loan differs from conventional lending because bridge loans are asset-based. They also have higher interest rates, shorter terms, and easier access.
A bridge loan usually comes from private money investment funds and private lenders. Blue Sky Capital Advisors and our wholly owned subsidiary Tempus Funding arranges CMBLs starting at $2 million.
Since BLs require less documentation than conventional commercial loans, they are a good choice for opportunistic purchases that require quick closings.
To make the best use of short-term bridge financing, you’ll need a financial partner who is clued into your specific objectives.
What you don’t need is a sales rep who’s trying to force your commercial financing project into a pre-defined underwriting box.
At Blue Sky Capital Advisors & Tempus Funding, we represent our clients rather than one specific lender.
Let's discuss your objective.