Bridge Loans for Real Estate Investors

A bridge loan is short-term financing that “bridges” a gap — between buying your next property and selling the current one, between acquisition and permanent financing, or between a maturing loan and its replacement. It’s temporary capital with a defined exit, built for transitions that can’t wait for slow permanent financing.

High leverage is available on the right deal, and we regularly work with borrowers whose credit other lenders turn away.

Who Bridge Loans Are For

Investors buying before selling — you found the next deal but your capital is tied up in the current one
Borrowers awaiting permanent financing — the long-term loan (SBA, conventional, DSCR) is coming, but the opportunity is now
Owners facing a maturing loan — your balloon is due and the refinance needs more time
Commercial owners repositioning — bridge capital during renovation or lease-up before stabilizing into permanent debt
Buyers closing in a new entity — Sewell Business Services (our sister company) can handle the formation while we handle the loan

If the only problem is timing, a bridge loan solves exactly that.

How Bridge Loans Work

Define the gap. What’s the starting point, what’s the endpoint, and how long is the bridge? A clear exit is non-negotiable — every bridge loan is underwritten to its payoff event.
Collateral-based underwriting. The property’s value and the exit plan carry the weight. Your personal financials matter less than in permanent financing.
Short terms, interest-only. Typical bridge terms run 6 to 24 months with interest-only payments, keeping carrying costs predictable during the transition.
Fast close. Bridge lending exists for urgency — closings move far faster than conventional or SBA timelines.
Exit as planned. Sell the property, close the permanent loan, or refinance — the bridge is repaid and you’re onto the permanent structure.

Terms and pricing are deal-specific: leverage, property type, exit certainty, and timeline all factor in. Contact us for current options — bridge quotes are always custom.

Why Investors Choose Bridge Loans

You don’t lose the deal waiting. The right property at the right price doesn’t wait for a 90-day SBA process.
Flexibility during transitions. Renovations, lease-ups, sales — bridge capital adapts to the in-between periods.
Interest-only payments keep the holding cost manageable for the short window.
A planned handoff to permanent financing. We do DSCR, SBA, and commercial permanent loans too, so the exit can be arranged from day one rather than figured out later.

Bridge Loans: What to Know

We’re based in Fort Worth, Texas, and we arrange bridge financing in most states. Licensed in Texas, Florida, California, and Arizona; investment-property loans available in most states. A few things worth knowing:

Fast-moving markets regularly produce situations where a buyer must close in weeks — DFW, Houston, and Austin are prime examples, and so are hot markets all over the country. Bridge financing is built for exactly that.
Oil-and-gas and commercial cycles in Houston and West Texas create refinancing gaps that bridge loans fill cleanly.
Texas is home, not a boundary. We arrange bridge loans in most states — bring us a deal just about anywhere in the country and, if the exit is real, we can very likely help.
Plan the exit honestly. The most common bridge mistake is an optimistic permanent-financing timeline. We’ll pressure-test your exit plan before you commit.

Frequently Asked Questions

How is a bridge loan different from a hard money loan? They’re cousins. “Bridge loan” describes the purpose (bridging a timing gap); “hard money” describes the source (private capital). Many bridge loans are funded with private/hard money. The key feature of a bridge is the defined exit event.

How fast can a bridge loan close? Fast — that’s the product’s reason for existing. Exact timelines depend on valuation, title, and your documentation readiness, but bridge closings are measured in days to a few weeks, not months.

What can I use as collateral? Residential investment property, commercial property, and sometimes land — it depends on the lender and the exit. The collateral’s value and marketability drive the structure.

How long do bridge terms run? Typically 6 to 24 months. The term should match your realistic exit timeline with a cushion — not your optimistic one.

What happens if my exit is delayed? Extensions are often available, usually with additional cost. The critical thing is early communication — tell your lender before the maturity date, not after. We’ll help you plan for this scenario up front.

Can a bridge loan help me buy before I sell my current property? Yes — that’s the classic residential and investor use case. The bridge covers the new purchase; when the old property sells (or refinances), the bridge is repaid.

Is a bridge loan expensive? Bridge capital costs more than permanent financing — you’re paying for speed and short-term flexibility. The right question isn’t “is it cheap” but “does the deal’s profit justify the cost.” We’ll help you do that math honestly.

Bridge the Gap

Timing problem? Let’s solve it. Tell us what you’re bridging between and when the exit happens — we’ll structure the loan around your actual timeline.

Call 817.862.6922 or email joel@lawtonbuildingandloan.com.

Joel Lawton, NMLS #380245 — Lawton Building and Loan.

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