Arch Bridge Loans

About Arch Bridge Loans

Based in Newport Beach, CA, Arch Bridge Loans is a hard money lender providing funding in California and Colorado. They provide loans for many different situations and needs, including fix and flip hard money loans, hard money loans for commercial properties, rental property loans, refinancing, and bridge loans. They issue rates ranging between 10% and 15%, loan amounts up to $2,000,000 with a maximum LTV of 70%, and terms between 6 months and 1 year. They will consider different loan scenarios but generally focus on single family units and multi family residences.

Loan Types Offered: Investment Property Loans, Fix and Flip Loans, Commercial Hard Money Loans, Refinance / Cash Out Loans, Bridge Loans

Property Types Covered: Single Family, Multi Family

Areas Served: CA, CO

Lending Guidelines for Arch Bridge Loans

Below are the general loan guidelines published on the Arch Bridge Loans website. Please confirm all terms and rates directly with the lender.

Loan Examples

The following loans are for education purposes only. They do not represent actual loans executed by Arch Bridge Loans.

Loan Example 1

Rachel is a house flipper in Los Angeles, CA. She discovers an older property and wants to remodel it and sell it for a profit. The house costs $370,000 but she doesn't have the full amount so she takes a hard money loan with Arch Bridge Loans. The lender agrees to make a loan with a 50% loan to value (LTV) so they will loan $185,000 on the house. The interest rate on the loan is 10% for a length of 18 months and the lender requires a five point origination fee at the closing. The interest is to be paid on a monthly basis and the principle amount will be repaid after the property sells.

According to the terms of the deal, Rachel will need to pay a $9,250 origination fee plus 50% of the purchase price, or $185,000, since there is a 50% LTV. Once the loan closes, she will pay Arch Bridge Loans $1,542 in monthly interest payments, or 10% multiplied by $185,000 divided by 12 months in the year. At the expiration of the loan, she sells the renovated house for $518,000. After deducting the $27,750 in interest payments ($1,542 multiplied by 18 months), the $9,250 origination fee, the $185,000 principle amount on the loan, and the $185,000 she contributed to closing, she will earn a total profit of $111,000 ($518,000 price minus $407,000 in total costs). This amount would then be reduced by any rehab costs paid by Rachel.

Loan Example 2

Arch Bridge Loans makes a fix and flip loan to Ofelia for a rehab project in Los Angeles, CA. The loan includes the following:

$230,000 sales price
75% loan to value (LTV)
18 month term
10% interest rate
1% origination fee

Once the rehab project is complete, if Ofelia sells the house for $322,000, the numbers would be as follows:

$322,000 sales price
- $172,500 principle on note (75% LTV)
- $57,500 cash paid at closing (25% on 75% LTV)
- $1,725 origination points (1% of the $172,500 principle)
- $25,875 total interest paid (18 months x 10% interest)
-----------------------
= $64,400 total profit (doesn't include taxes or renovation costs)