Hard Money Lenders (Home) » Blog » Bridge Loan » Is a Bridge Loan Right for You?

Is a Bridge Loan Right for You?

Have you heard of the term bridge loan before? If you’ve always sold your property before purchasing a new one, you might not have needed to know the details of a bridge loan. However, you might not have the luxury of waiting to sell your property before putting an offer in on your next property.

This is where a bridge loan comes in, closing the gap in funding shortages from equity tied up in your existing property. Understanding the basics, typical process, and ways to leverage a bridge loan can help you determine if this financing strategy is right for you.

What is a Bridge Loan?

A bridge loan is a type of short-term financing that allows property owners to pull equity out of their current property to put towards a new purchase. Most bridge loans have a term of 12 months and higher interest rates, making them effective for short-term financing needs.

The loan paperwork for a bridge loan can be completed much quicker compared to a conventional loan. If you are a real estate investor or have stumbled on a great opportunity, time is of the essence in real estate transactions, making a bridge loan more attractive.

Is a Bridge Loan Right for You?

Loans are made or arranged by Wilshire Quinn Income Fund, LLC (the “Fund”) pursuant to California Finance Lenders Law license #603J060. The information contained in this message is for informational purposes only and is meant to provide general background information on the Fund and its manager, Wilshire Quinn Capital, Inc. (the “Manager”). Any and all information herein is deemed reliable but is not guaranteed.

Is a Bridge Loan Right for You?

How Does a Bridge Loan Work?

When property owners go to sell their properties and purchase a new one, there’s often a timing difference. This means that they might find a new property before selling their existing property. Many property owners don’t have the funds for a new property purchase without selling their existing property. A bridge loan eliminates this issue, allowing property owners to access the equity in their property before the sale is finalized.

Bridge loans are commonly secured by your existing property.  Once your existing property is sold, the proceeds will then be used to pay off the bridge loan, leaving you with only the mortgage of your new property. Bridge loans aren’t meant to be a long-term financing solution because of the higher interest rates.

When Should You Use a Bridge Loan?

Bridge loans should only be used if you expect your current property to sell within a short time frame. The structure of many bridge loans requires a balloon payment by the end of the period. Without closing on your existing property, you could default on your loan agreement.

Finding the Right Bridge Loan Lender

Not all traditional financial institutions offer bridge loans because they often need to have a level of flexibility outside of standard loan requirements. This is why it’s important to work with a qualified bridge lender that can guide you through the process.

Our team at Willshire Quinn Capital has the knowledge and expertise you need in a bridge loan lender. We work with you throughout the entire process, ensuring there are no unexpected surprises. Reach out to one of our loan representatives today to go over your bridge loan scenario.

  • Funding typically in 5-7 business days
  • Loan Amounts from $200,000 to $20,000,000

  • Interest Rates from 7.5% to 11%

  • Loan Term: 3 – 24 months

  • Commercial & Residential (non-owner occupied) Real Estate

  • Purchase, Refinance, Cash-out Refinance, Rehab, Blanket Loans
  • Foreign National Loans Available


About Wilshire Quinn

Wilshire Quinn is a San Diego hard money lender focused on short term bridge loans, secured by first trust deeds. The company is based in San Diego, CA with offices in Los Angeles and San Francisco. Wilshire Quinn typically funds loans for their customers in 5-7 days. Their successful track record is closely linked to their ability to make immediate lending decisions based on their highly disciplined underwriting approach. The company funds a variety of loans such as: refinance, purchase, blanket, rehab loans, 1031 exchange, partnership buyouts, and more. They originate hard money loans ranging from $200,000 – $20,000,000. Wilshire Quinn works with commercial and residential buyers nationwide.

Recently Funded Hard Money Loan Transactions

Loan Amount: $15,575,000 Loan Type: Blanket Construction Property Type: Industrial Loan-To-Value: 62% Term: 12 Months
UKIAH, CA Loan Amount: $6,575,000 Loan Type: Purchase Property Type: Self Storage Loan-To-Value: 61% Term: 7 Months BONITA, CA Loan Amount: $3,450,000 Loan Type: Purchase Property Type: Office Loan-To-Value: 61% Term: 18 Months LOS ANGELES, CA Loan Amount: $10,675,000 Loan Type: Refinance Property Type: Parking Structure/Retail Loan-To-Value: 52% Term: 12 Months

Submit a loan application

Partner with a Hard Money Lender you can trust.

By |April 2nd, 2023|Categories: Bridge Loan|
Call Now ButtonCall Now