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.
Check out our Loan Tiers Infographic for eligibility breakdowns.