INTEREST-ONLY COMMERCIAL REAL ESTATE BRIDGE LOANS
PROPERTY TYPES: All property types considered, except owner-occupied residential
LENDING AREA: Nationwide
LOAN SIZE: From $250,000 to $15,000,000
LOAN TERM: 6 to 36 months
AMORTIZATION: Interest only
INTEREST RATE: 7.50% – 11.00%
LOAN-TO-VALUE: Up to 70%*
ORIGINATION FEE: 1% – 2% of the loan amount
PREPAYMENT PENALTY: No prepayment penalty, although typically a short interest guarantee
RECOURSE: Non-recourse available.
EXPENSE DEPOSIT: Adequate to cover third-party reports, legal fees, and customary expenses
CLOSING TIME: Typically within 10-12 business days
Stormfield is a commercial bridge lender. All lending decisions are made in-house. Loans are funded on our balance sheet.
* Stormfield’s “Fix & Flip” Loan Program provides up to 85% of the purchase price, and 100% of the renovation costs, up to 65% of the after-repair value
Choosing a Commercial Bridge Lender
Why use commercial real estate bridge loans?
Commercial bridge loans are short-term financing options that provide investors with the funds they need to quickly purchase a property and make improvements. These loans are typically used in situations where traditional financing is not available, such as when a property is in need of significant repairs, or when the investor needs to act quickly to take advantage of a time-sensitive opportunity.
There are several common uses for commercial bridge loans. One common use is to finance the purchase of a property that is in need of significant repairs. This can include properties that are in foreclosure, or those that are in need of major renovations. By providing the funds needed to purchase and improve the property, a bridge loan can help investors to quickly add value and generate a return on their investment.
Finally, commercial bridge loans can be used to provide funds for a variety of other purposes, such as refinancing existing debt, purchasing equipment, or consolidating multiple loans. By providing access to capital, a bridge loan can help businesses and investors to quickly and efficiently pursue their goals.
How to find the right bridge lender for your commercial real estate project
Finding the best bridge lender for your commercial real estate project can be a challenging task. However, with a little research and due diligence, you can find a lender that is well-suited to your needs and goals.
One of the first things to consider when looking for a bridge lender is the lender’s experience and track record. Look for a lender that has a proven track record of providing financing for commercial real estate projects, and that has a good reputation within the industry.
It is also important to consider the lender’s terms and fees. Different lenders will have different requirements and fees, so it is important to compare several lenders to find the one that offers the most favorable terms. This may include lower interest rates, longer loan terms, or more flexible repayment options.
Additionally, consider the lender’s turnaround time and level of customer service. In many cases, commercial real estate projects require financing on a tight timeline, so it is important to find a lender that can provide the funds quickly. Look for a lender that has a reputation for providing excellent customer service, and that is willing to work with you to ensure that your project is successful.
Overall, finding the best bridge lender for your commercial real estate project requires research and due diligence. By carefully comparing the experience, terms, and customer service of different lenders, you can find the one that is best suited to your needs and goals.