What are the conditions of a bridge loan?

A bridge loan from Bridgeloan.nl offers flexibility, but there are specific conditions that you must meet to qualify:

1. Type of applicant

  • You are a commercial real estate professional, such as a real estate investor, trader, or developer.
  • Applications from private individuals (consumers) will not be processed.

2. Own input

  • You have sufficient resources of your own to finance part of the project.
  • The maximum loan-to-cost (LTC) is 80%, which means that you must contribute at least 20% of the costs yourself.

3. Maximum financing

  • The maximum loan-to-value (LTV) is 75%, based on the value of the collateral.

4. Track record

  • You have experience with real estate projects, such as fix & flip projects, and can demonstrate a track record.

5. Project requirements

  • Only existing real estate is eligible; new construction projects are excluded.
  • The purpose of the object must be determined and an irrevocable environmental permit is required.

6. Exit strategy

  • You have a clear exit strategy, such as selling the property or switching to long-term financing, which will allow you to repay the loan.

7. Object Properties

  • The property must be in a common location and be suitable for alternative use.
  • Residential real estate is preferred, but combination properties may also be eligible.

8. Minimum and maximum loan amount

  • Financing is possible from €250,000 to a maximum of €2,500,000.

9. Other conditions

  • A viable business case and solid financials are essential to support the application.
  • The project should be completed within 6 to 24 months.

Meeting these conditions increases the chance of a successful application for a bridge loan. Each project is assessed individually to map out the feasibility and risks.