Concord construction bridge loans are typically necessary near or close to the end of a construction project where there is not enough capital available to complete the project for whatever reason. While end of project construction bridge loans are most common, it can also happen that construction bridge financing is needed in the middle or closer to the beginning of work. In these secondary cases, the issue typically isn’t that there’s insufficient capital to complete the work, but that the builder or property owner is not able to comply with the requirements of the senior lender, stopping funds from flowing.
Regardless of why and when a construction bridge loan is required, the insertion of this type of construction financing is meant to get the project back on track from the point of requirement to the end of work. Most construction bridge loans are only undertaken after all other avenues to solve the cash flow problem have been exhausted and as a result can leave little time to get something in place. The closer the project is to completion, the more likely a Concord construction bridge loan can get put into place quickly as most of the construction risk has already been eliminated. The farther away from completion the project is when the bridge is required, the more likely its going to take some time to get incremental funding into place as the lender is going to have to review the project more closely to make sure that whatever funds are being provided will indeed solve whatever cash flow problems exit.
As we mentioned at the outset of this post, a construction bridge loan can save your project in a number of different ways. First, by getting timely access to a source of bridge financing, the project can stay on track and avoid costs that can occur from delays. Second, a stalled out project will only have so much time to figure out its cash flow gap before creditors and lenders start taking action against the property which could end up destroying all the equity invested.
If you require a Concord construction bridge loan for a residential or commercial construction project, give me a call right away so I can quickly go over your situation and provide construction bridge loan financing options for your immediate consideration.
Click Here To Speak With Construction Mortgage Broker Joe Walsh