Commercial Bridge Loans:
Commercial Bridge Loans is a short-term (usually 1 to 2 years) funding to give a new commercial property owner the ability to purchase and time and money to bring a distressed property back up to traditional standards to qualify for a conventional long-term mortgage.
Qualifications Needed:
To qualify for a Bridge Loan, a Purchaser/Borrower must be successfully experienced in operating the underlining business (such as being a multifamily housing owner/operator), the financial ability to invest substantial equity into the property and a solid step by step business plan to bring the property up to the point where a conventional mortgage can be obtained (the Bridge Loan exit plan).
Other Info:
If purchasing a Bank REO (real estate owned), the selling bank, as an incentive, may pre-commit to giving you a conventional commercial mortgage to pay off your Bridge Loan, if you hit specific cash flow and occupancy numbers out in time, say 24 months.
Commercial Bridge Loans are more expensive than conventional loans due to the higher risk involved. However, Bridge Loans can be a great financial opportunity resource, if you can bring a well bought, under performing property up to a fully cash flowing and desirable income producing property. Bridge Loans, used properly, can provide you the resources to develop a terrific return on investment (ROI) as you build your real estate portfolio.
If you find a great deal on a distressed income producing property that you are confident you can turn around, tell me about it and perhaps a Bridge Loan can be your ticket to ownership.
Excel Commercial Capital Corp. can finance your Bridge Loan today! Click here to Apply Now!
