Bridge Loan

A bridge loan is a temporary financing opportunity a mortgagor can receive that serves to fund the purchase of a piece of property until an individual or company can secure permanent financing or an existing debt obligation has been removed. Most bridge loans are short-term, lasting roughly 6 months to a year, and are used most often in real estate transactions. Many individuals use bridge loans to finance the purchase of a new home before they are able to sell their existing residence.