What is Bridge Loan?
Bridge Loan is a term used by Private money lenders when originating a non-traditional bank loan. The term bridge is a term used by people in the industry to bridge the gap between purchase and disposition via refinancing or sale. The Lenders rely upon originating bridge loans mainly on borrower’s assets and equity in the underlying collateral. These loans are most suited for a fix and flip investor that needs further financing either until closing of a transaction or resell the property usually within less than a years’ time.