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COMMERCIAL BRIDGE LOANS
Commercial Bridge Loans for Real Estate Investors
A Commercial Real Estate Bridge Loan is defined as a short-term real estate loan for a Commercial Property - such as a retail store, office building, mixed-use, apartment building, and more. Commercial Bridge Loans are a form of short-term financing. Short-term financing refers to a set of funding that lasts for a small period. It can be a couple of months or it can be at most 24 months. It aims to produce results quickly and acquire a lot of revenue and equity in return.
The typical commercial property bridge loan has a term of 12-24 months, although many commercial bridge loan lenders will grant the owner the option to extend his loan for six months to one year.
Few lenders do Bridge Loans for Commercial Properties, however at Stratton Equities we offer this unique loan, Nationwide, to Real Estate Investors.
Like a typical Bridge Loan, this type of loan can also be a valuable tool for the purchase or refinance of office buildings, retail property, and multifamily housing including apartment complexes.
Commercial Bridge Loan Summary
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Investment Properties Only: Multi-Family, Commercial, Mixed Use, Office, Retail, Industrial, Warehouse
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Rates Starting at 9.99%
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$200K – $5M
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Up to 75% LTV
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Fixed rates/Adjustable
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Bridge Loans Only
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Interest Only Option Available
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Foreign Nationals Eligible
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No Prepayment Penalty
What is a Commercial Bridge Loan?
Commercial Bridge Loans are a temporary, short-term financing option that helps alleviate some of the financial burdens of an investment plan that is undergoing complications. They are financed by Commercial Real Estate Bridge Loan Lenders, who are private lenders who specialize in commercial real estate and bridge loans.
If you're a Real Estate Investor looking for a commercial bridge loan, it ideally works best when you’re acquiring your target real estate property at a large discount. Such as the case of properties discounted due to poor condition or poor management.
Commercial Bridge Loan Financing is a form of short-term financing in that it specifies commercial properties and bridge loans, whose funds are based on the property itself. Commercial Bridge Loans also go by the name of Commercial Real Estate Bridge Loans.
In contrast, a Commercial Bridge Loan is a term loan, which deals with long-term financing. A term loan is a long-term loan in which one pays it back over a series of periods after several years. Some term loans can last up to 30 years. Long-term relates to how something can occur over a long period, often years or decades.
Commercial bridge loans are offered by private money lenders, like Stratton Equities, utilizing riskier loans for short periods.
At Stratton Equities, we offer rates as low as 9.9% with an LTV Ratio of up to 75% allowing borrowers to get a quality loan for a quality interest rate. These are fairly manageable and standard figures hence why anyone can use them. Interest rates are a reflection of an amount borrowed and the period to which the principal sum is owed back in full. They can fluctuate based on the borrower and they are typically incorporated into the monthly payments. More specifically, interest rates take into account the total current debt and compound it as an appreciation of value, which accumulates over time periodically.
Who can Apply for a Commercial Bridge Loan?
A Commercial Bridge Loan can be used by almost anybody. This type of loan program can Bridge the Gap between experienced real estate entrepreneurs and first-time investors as it is straightforward and common enough for lenders to understand how it can be used properly by borrowers.
The term Bridge the Gap refers to the idea of bringing together two contrasting things on a singular commonality. Commercial Real Estate Loans are a type of mortgage aimed at commercial properties specifically, not residential, and they are typically attached to the property as if they are collateral. Commercial Real Estate Loans can come in the form of Bridge Loans or Asset-Based Loans, both of which tie their obligations to the property itself.
Stratton Equities strives to make sure that everyone can get the financial aid that they need to fuel their investment enterprise. We want to ensure our customers' satisfaction by providing them with the utmost care and responsibility with regards to their investments and future endeavors.
Whether it be a Commercial Bridge Loan or something else, we serve to protect our clients rights as investors and entrepreneurs.
Why should you work with an Asset Based Lender on a Commercial Investment Property?
If you are looking to finance a commercial investment property but cannot get traditional financing due your reported income, employment, or credit score - working with an asset-based lender is the best solution for you.
When applying for a loan with a traditional Mortgage lender or financial institution, they rely on proof of employment, tax documentation, and credit score. An Asset Based lender bases the loan approval on the value of the investment property, making this ideal for real estate investors or entrepreneurs who might be self-employed, have poor credit, or have other circumstances which make traditional mortgage approval difficult. Approval is based on the comparison of the loan to the value of the property, also known as the LTV (Loan-to-Value Ratio).
Working with an asset-based lender on your commercial property will allow you to have your loan approved in half the time a traditional bank loan takes. Additionally, it requires less underwriting and guidelines, giving you the opportunity to quickly purchase high in demand commercial investment properties.
Contact Stratton Equities to figure out the best working relationship for you and your business! One of our top loan officers will be in contact with you within 24 hours!
If you have an investment property and wish to speak with one of our Loan Officers, call Stratton Equities at 800-962-6613, Email Us at info@strattonequities.com, or Apply Now for loan pre-qualification today!