Bridge and Hard Money Apartment Financing

April 29, 2014

Hard money lenders make temporary loans, or bridge loans, with high interest rates and loan origination points. Most hard money lenders charge interest rates averaging 10.00% to 14.00%. Points can average between 3.00% and 10.00%. At Apartment Loan Store, we offer hard money bridge loans starting at 6.00%.

So why would someone want to use a hard money lender? Here are seven reasons why:

April 16, 2014

Published March 15, 2014 

Published July 26, 2010 

Investors and borrowers are looking for ways to stabilize their finances, so they approach commercial loan lenders. One of the things they’re looking into is alternative financing options, such as commercial bridge loans and hard money loans. If you haven’t heard about these two options yet, read this article to increase your knowledge about them. You never know, you might even try these options out, as well. 

Published January 6, 2012 

A number of our clients have wondered when an apartment bridge loan is necessary.

First, it’s important to define what a bridge loan is, for those of you not familiar with bridge loan financing. A bridge loan is a short-term loan that helps you secure financing for a property when the property doesn’t qualify for permanent multifamily financing. The purpose of getting the bridge loan is to have time to improve the property in order that you qualify for permanent apartment financing.

Published January 6, 2012 

What criteria is needed to qualify for apartment financing on rehab deals?

Published August 5, 2013

Do you need a bridge loan—also known as a hard money loan—instead of a conventional apartment loan to purchase or refinance an apartment building?

Conventional permanent loans, the ones with the best long-term fixed rates, require that the property:

1) Be in good condition.

2) Have 90 percent occupancy for a minimum of 3 to 12 months

3) Have 12 to 24 months of good net operating income (gross income minus expenses).