Fix and Flip vs Bridge Loan: What’s the Difference?
Real estate investors often hear the terms “fix and flip loan” and “bridge loan”—but they’re not interchangeable. While both are short-term financing tools, they serve different purposes and come with distinct underwriting criteria.
What Is a Fix & Flip Loan?
Fix and flip loans are designed for investors who:
- Buy distressed or undervalued properties
- Renovate them for resale
- Need rehab funding and fast closings
These loans typically offer:
- 6–12 month terms
- Up to 90% purchase + 100% rehab
- ARV-based underwriting
- Same-day draw funding via Snap App
Perfect for flippers who want to maximize ROI and move quickly.
What Is a Bridge Loan?
Bridge loans are used to:
- Cover short-term gaps between buying and selling
- Refinance existing debt
- Acquire stabilized or income-producing properties
They typically offer:
- 6–24 month terms
- No rehab funding
- DSCR or asset-based underwriting
- Lower LTVs and longer closing timelines
Ideal for investors transitioning between deals or repositioning assets.
Side-by-Side Comparison
| Feature | Fix & Flip Loan | Bridge Loan |
| Purpose | Buy, rehab, resell | Refinance, acquire, reposition |
| Rehab Funding | Yes (100% available) | No |
| Term Length | 6–12 months | 6–24 months |
| Underwriting Focus | ARV, scope of work | DSCR, asset value |
| Closing Speed | 7–10 days | 14–30 days |
| Best For | Flippers | Transitional investors |
Internal Resources
Explore our Fix & Flip Loans page for full program details.
Visit our Loan Types Hub to compare all investor loan options.
Need rehab funding for your next flip? Apply now and get approved in 7 days or less.
FAQ’s Fix and Flip vs Bridge Loan
Fix and flip loans fund rehab projects for resale. Bridge loans cover short-term gaps or refinance stabilized
Not typically. Bridge loans don’t include rehab draws—fix and flip loans are better suited for renovations.