Chicago Bridge Loan

About Chicago Bridge Loan

Headquartered in Chicago, IL, Chicago Bridge Loan is a hard money lender offering loans throughout Chicago. They provide cash out hard money loans, rental property loans, short term fix and flip loans, hard money bridge loans, and commercial hard money loans. Their loan parameters are versatile, including loans with a maximum LTV of 60%, terms between 6 months and 18 months, and rates ranging between 12% and 16%. They are able to lend money to all borrowers based on the value of the property and not on a minimum FICO rating. They will consider different loan scenarios but primarily focus on single family homes 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: Chicago

Lending Guidelines for Chicago Bridge Loan

Below are the general loan guidelines published on the Chicago Bridge Loan 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 Chicago Bridge Loan.

Loan Example 1

Terrie is a real estate investor in Chicago, IL. She finds an older property and wants to remodel it and sell it for a profit. The house has a cost of $170,000 but she doesn't have the full amount so she obtains a hard money loan with Chicago Bridge Loan. The lender agrees to write a loan with a 75% loan to value (LTV) so they are willing to loan $127,500 on the house. The note is interest-only, with monthly payments, and is for 6 months at 8% interest with 5 points paid at the closing.

Terrie will have to contribute $42,500 at closing (25% on the 75% LTV), plus she will have to pay the $6,375 origination fee. Chicago Bridge Loan will collect $850 in monthly interest payments from the borrower. This is computed by taking the full note value of $127,500, multiplying that by the 8% rate of interest, and then dividing that number by 12. Assuming she sells the renovated project for $212,500 at the end of the 6 month term, her gross profit (not accounting for renovation expenses) would be $31,025. This is computed by taking the sales price ($212,500) and subtracting the original note amount ($127,500), the origination cost ($6,375), the funds she contributed to closing ($42,500), and the total interest payments ($5,100).

Loan Example 2

Chicago Bridge Loan makes a private money loan to Derek for a remodeling project in Chicago, IL. The deal dictates the following:

$370,000 purchase price
75% loan-to-value (LTV)
12 month term
14% rate of interest
2% origination fee

If Derek succeeds in his goal of a $462,500 sales price, the numbers of the deal would be the following:

$462,500 sales price
- $277,500 note principle (75% LTV)
- $92,500 down payment (25% on 75% LTV)
- $5,550 origination points (2% of the $277,500 principle)
- $38,850 total interest paid (12 months x 14% interest)
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= $48,100 gross profit (doesn't include taxes or rehab costs)

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