Interim Finance - Short-Term Loan Process Explained
Watch the explainer video below to see how you can access swift and seamless short-term finance in 5 simple steps!
Interim financing. A short-term loan made to a company on the condition that a takeout will follow with long-term or intermediate financing.
interim loan definition: A short-term loan that is paid back after a permanent loan is received....
Interim Financing is the process of obtaining temporary, short term financing to close a real estate transaction. Interim financing, also called bridge financing or a bridge loan , is often used by a buyer who is selling a home to buy another, but the sale of the first home cannot be completed before the purchase of the second home must be completed.
Two-Time Close Interim Loans. Of course, loan to value ratios will fluctuate depending on how much you need to roll into this type of loan, but between 80-90% loan to value can be expected depending on your personal credit worthiness, along with the value of the land and the appraised value of the completed home.
What is the length of time for an interim loan? That depends upon the size and construction time of the home. Interim loans can go for 6, 9, 12 or even 18 months.