A bridge to construction loan is for a buyer who needs time to subdivide or get permits before building. You buy a property with an existing house on a bridge loan of up to 85% of the purchase price, then refinance into a Domus ground-up construction loan. The property needs an existing house. Vacant land does not qualify.
| Property | A property with an existing house. Vacant land does not qualify. |
|---|---|
| Purpose | Time to subdivide or get permits before building. The exit is a refinance into a Domus ground-up construction loan. |
| Leverage | Up to 85% of the purchase price, or of the appraised value if lower. |
| Rate and points | Rate from 9.25% and points from 1.5, as of October 2026. |
| Term | 12 months. |
| Prepayment | 3-month minimum interest. |
| Liquidity | Cash to close plus 6 months of interest payments. |
| Subdivision | The bridge can stay in place while the subdivision is completed. |
| Existing house | It can be rented during the bridge. It cannot be torn down during the bridge, only once it is in the construction loan. |
| Not financed | Subdivision, site development, utilities, grading and other pre-construction costs. |
| Markets | Florida, Georgia, South Carolina, North Carolina and Tennessee. |
| Loan structure | The construction loan refinances the bridge directly. One construction loan per lot. |
|---|---|
| Loan amount | $200,000 to $5,000,000. |
| Max LTC | 85% standard. |
| Max LTARV | Up to 75%. |
| Land advance at closing | Up to 60% of the land’s appraised value with permits not yet issued. Up to 70% with permits approved and issued. |
| Land value at refinance | The purchase price, or the appraised value if lower, unless you have owned the property for at least 6 months and permitting or subdivision work has been done. Then the appraised value is used. |
| Rate and points | Rate from 9% and points of 1% to 2% of the loan amount, as of October 2026. |
| Term | 9 to 18 months. |
| Interest | Charged only on drawn funds. |
| Construction budget | Up to 100% financed. |
| Minimum FICO | 680. |
| Permits | Never required to close. |
| Exit | Sale, or DSCR refinance with Domus. |
| Markets | Florida, Georgia, South Carolina, North Carolina and Tennessee. Urban and suburban only, no rural. |
Updated . Business-purpose loans only. The construction phase follows our ground-up construction loan program, where the complete program terms are listed.
The construction loan refinances the bridge directly. Two things decide how much of the bridge it covers: the land value used, and where your permits stand.
The rest of the land value is your equity in the construction loan. The construction loan down payment and LTC page explains how land equity counts toward your contribution.
If the land advance is below the bridge balance, you bring the difference to closing.
The bridge can stay in place while the subdivision is completed. After the subdivision, the bridge balance is split equally across the lots.
A lot is released by paying down 120% of the debt allocated to it.
There is one construction loan per lot, and the lots can be built one at a time: finance one house, sell it, then finance the next.
The property needs an existing house. A bridge to construction loan is not available on vacant land.
The house can be rented during the bridge. It cannot be torn down during the bridge, only once it is in the construction loan.
Subdivision, site development, utilities, grading and other pre-construction costs are not financed.
Based on a recent quote, not a funded loan.
| Property | About 2 acres, with an existing house |
|---|---|
| Purchase price | $520,000 |
| Bridge loan, which funds the purchase (75% of $520,000) | $390,000 |
| Rate | 9.75% |
| Points (1.5% of $390,000) | $5,850 |
| Term | 12 months |
| Monthly interest ($390,000 × 9.75% ÷ 12) | $3,168.75 |
| 3-month minimum interest (3 × $3,168.75) | $9,506.25 |
| Liquidity required: cash to close, plus 6 months of interest (6 × $3,168.75) | Cash to close + $19,012.50 |
| Lots after the subdivision | 2 |
|---|---|
| Bridge debt allocated to each lot ($390,000 ÷ 2) | $195,000 |
| Paydown to release the first lot (120% of $195,000) | $234,000 |
| Bridge balance left on the second lot ($390,000 − $234,000) | $156,000 |
| Land value used (owned less than 6 months: the purchase price) | $520,000 |
|---|---|
| Bridge balance to refinance | $390,000 |
| Permits not yet issued: land advance (60% of $520,000) | $312,000 |
| Borrower brings to closing ($390,000 − $312,000) | $78,000 |
| Permits approved and issued: land advance (70% of $520,000) | $364,000 |
| Borrower brings to closing ($390,000 − $364,000) | $26,000 |
The refinance is shown for the full $390,000 bridge balance, at the $520,000 purchase price.
Based on a recent quote, not a funded loan. Updated . Business-purpose loans only.
At Domus, a bridge to construction loan lets you buy a property with an existing house and take time to subdivide or get permits before you build. The bridge is up to 85% of the purchase price, or of the appraised value if lower, for 12 months, with a 3-month minimum interest. A Domus ground-up construction loan then refinances the bridge directly. The property needs an existing house. Vacant land does not qualify.
Land is valued at the purchase price, or the appraised value if lower, unless you have owned it for at least 6 months and permitting or subdivision work has been done. Then the appraised value is used. On a bridge to construction, this applies to a property bought with an existing house. Vacant land does not qualify for the bridge.
No. Permits are never required to close. They change the land advance at construction closing: up to 60% of the land’s appraised value with permits not yet issued, and up to 70% with permits approved and issued. If you need time to get permits on a property with an existing house, the bridge gives you that time. Vacant land does not qualify for the bridge.
Yes, in two steps, when the property has an existing house. The bridge funds up to 85% of the purchase price, or of the appraised value if lower. The construction loan then refinances the bridge directly and can finance up to 100% of the construction budget, with one construction loan per lot. Vacant land does not qualify for the bridge.
By Maximiliano Extrakt, Co-Founder, Domus Lending Group. Updated .
Business-purpose loans only.
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