Residential Investor Lending

Stabilized Bridge Loans

Q: What's the difference between No-DSCR and DSCR-Exit Bridge?

Two parallel programs. No-DSCR Bridge: for stabilized C2-condition properties listed (or about to be listed) for sale — no rental income required, qualifies on the property's as-is appraised value alone. 85% LTC / 70% LTV. 660 FICO. DSCR-Exit Bridge: for stabilized C2-condition properties currently/soon-to-be rented but not yet rent-seasoned for permanent DSCR — qualifies on a 1.10x exit DSCR (the takeout rate at the time of stabilization).

Q: What's the rate on a stabilized bridge?

Stabilized bridge rates run 9.00-11.50% interest-only as of May 2026. Pricing depends on property condition (C2 vs C3), borrower FICO, market, and exit certainty. DSCR-Exit Bridge typically prices 25-50 bps tighter than No-DSCR Bridge because the takeout DSCR refinance gives the lender more confidence in the exit.

Q: How long is the term?

12-24 month term, interest-only. Most stabilized bridge loans extend 6-12 months at the borrower's option (with extension fee 1-2% of loan amount). Designed to bridge between fix-and-flip rehab loan exit and either sale or DSCR refinance.

Q: What's the LTV / LTC max?

70% LTV (loan-to-value of as-is appraised value) or 85% LTC (loan-to-cost) on properties owned <6 months. The lower of LTV/LTC binds. Properties owned 6+ months typically use as-is LTV; properties recently acquired use LTC.

Q: Can I refinance from fix-and-flip into stabilized bridge?

Yes — this is the core use case. Fix-and-flip rehab loans typically have 12-month terms. If the renovation completes faster than the property sells (common in slower markets), the borrower refinances into a stabilized bridge for additional 12-24 months at lower rate while listing or transitioning to rental.

Q: What's the 1.10x exit DSCR requirement?

DSCR-Exit Bridge requires the property to project a 1.10x DSCR at the takeout rate (the rate the borrower will refinance into when transitioning to permanent DSCR). 1.10x = projected gross rent ÷ projected PITIA at the takeout rate. This ensures the bridge has a viable exit into permanent financing — protects both lender and borrower from being trapped at bridge rates.

Q: What's the difference between stabilized bridge and fix-and-flip?

Fix-and-flip funds the rehab (rehab budget included). Stabilized bridge is for ALREADY-renovated properties (no rehab budget). Fix-and-flip rates are wider (10-13%) because of construction risk; stabilized bridge prices tighter (9.00-11.50%) because the property is already stabilized.

Two parallel programs: No-DSCR Bridge for properties listing for sale, and DSCR-Exit Bridge for rentals seasoning into permanent DSCR refinance. The bridge between fix-and-flip exit and long-term financing.

Loan Range

$50K–$3M

LTC / LTV

85% / 70%

Term

12-24 mo IO

FICO Floor

660

Decision

3-5 days

Quick Answer

What is a stabilized bridge loan and when do you need one?

A stabilized bridge loan is a 12-24 month interest-only loan on a stabilized (C2-condition) 1-4 unit residential investor property. Two scenarios: (1) No-DSCR Bridge — listing the property for sale, no rental income required, 70% LTV. (2) DSCR-Exit Bridge — rental property seasoning into permanent DSCR refi, requires 1.10x exit DSCR. Rate 9.00-11.50% IO. 660 FICO. Designed to bridge fix-and-flip exits into either sale or 30-year DSCR rental.

— PeerSense Capital Advisory · 2026-05-01

Two parallel programs

No-DSCR Bridge

For sale exit

✓ Property is stabilized (C2 condition or better)
✓ Listed (or about to list) for sale
✓ No rental income or DSCR required
✓ 85% LTC / 70% LTV
✓ 660 FICO floor
✓ Rate 9.25-11.5% IO
✓ 12-24 month term

DSCR-Exit Bridge

Rental seasoning to DSCR refi

✓ Property is stabilized (C2 condition or better)
✓ Currently rented or about to be rented
✓ 1.10x exit DSCR at takeout rate
✓ 85% LTC / 70% LTV
✓ 660 FICO floor
✓ Rate 9.00-11.0% IO (25-50 bps tighter than No-DSCR)
✓ 12-24 month term + extension options

Frequently asked questions

What is a stabilized bridge loan?+

A stabilized bridge loan provides 12-24 month interest-only financing on residential investor 1-4 unit properties that are stabilized (C2-or-better condition) but need time before permanent DSCR financing.

What's the difference between No-DSCR and DSCR-Exit Bridge?+

No-DSCR Bridge is for stabilized C2-condition properties listed for sale — no rental income required. DSCR-Exit Bridge is for stabilized C2-condition properties seasoning into permanent DSCR — qualifies on 1.10x exit DSCR at takeout rate.

What's the rate on a stabilized bridge?+

9.00-11.50% interest-only as of May 2026. DSCR-Exit Bridge typically prices 25-50 bps tighter than No-DSCR Bridge.

How long is the term?+

12-24 month term, interest-only. Most extend 6-12 months at borrower's option with extension fee 1-2%.

What's the LTV / LTC max?+

70% LTV (as-is appraised value) or 85% LTC (loan-to-cost) on properties owned <6 months. Lower of LTV/LTC binds.

Can I refinance from fix-and-flip into stabilized bridge?+

Yes — this is the core use case. When fix-and-flip rehab completes faster than the property sells, refinance into stabilized bridge for additional time + lower rate.

What's the 1.10x exit DSCR requirement?+

DSCR-Exit Bridge requires projected 1.10x DSCR at the takeout rate. Ensures viable exit into permanent financing.

What's the difference between stabilized bridge and fix-and-flip?+

Fix-and-flip funds the rehab. Stabilized bridge is for already-renovated properties. Stabilized bridge prices tighter due to lower construction risk.