Bridge Loan Louisiana

Last Updated: April 28, 2025

At OfferMarket, we’re on a mission to help you grow your wealth through smart real estate investments across Louisiana. Whether you're eyeing properties in New Orleans, Baton Rouge, Shreveport, or anywhere in the Pelican State, we offer a full-service platform designed to fuel your success:

💰 Private lending made simple
☂️ Insurance rate shopping to keep your costs low
🏚️ Exclusive access to off-market property opportunities

Our Bridge Loan Louisiana program is built to provide fast, reliable, and cost-effective financing for the acquisition and improvement of 1-4 unit residential investment properties.

No matter your investment game plan — whether you’re flipping homes for quick profits or refinancing into a DSCR loan for long-term cash flow — we would love the chance to earn your business and support your journey toward financial freedom.

Let’s take a closer look at the OfferMarket Bridge Loan Louisiana Program!

What is a bridge loan?

A bridge loan is your short-term financial solution designed to fill the gap between securing a property and locking in a longer-term loan or completing a profitable sale.

In the competitive Louisiana real estate market, having access to a bridge loan Louisiana empowers you to move quickly on investment opportunities — whether you're flipping distressed properties in Baton Rouge or securing off-market gems in Lafayette.

This type of loan acts as your flexible financing partner, helping you seize deals when timing is critical and permanent financing isn’t immediately available.

Bridge loan scenarios

Real estate investors throughout Louisiana lean on bridge loans to unlock a variety of profitable strategies. Here’s when a Louisiana bridge loan could be the key to your next successful project:

• Buying and fixing up distressed properties — Avoid tying up your own cash by using a bridge loan to finance both the purchase and the renovation of investment properties.

• Refinancing a cash purchase and funding the rehab — Closed fast with cash to win a deal? Now you can pull out that equity and fund the rehab through a bridge loan.

• Refinancing an existing loan while finishing renovations — If your current lender is ready to be repaid but your project still needs work, a bridge loan gives you the time and capital to complete the job.

• Acquiring property without renovation plans — Some investors secure properties below market value with the intention of reselling them in their current condition. A bridge loan allows for quick acquisition without draining your savings.

• Refinancing a cash purchase without rehab — Maybe you bought at a deep discount and want to tap into your equity while holding the property. A bridge loan helps you do just that.

• Refinancing an existing loan post-renovation — If your rehab is complete but you’re not ready to sell or refinance into a DSCR loan just yet, a bridge loan provides the flexibility to wait for the right moment.

Bridge loans are often known as “hard money loans” or “fix and flip loans” — terms commonly used interchangeably among investors and private lenders in the Louisiana market.

How it works

Here’s how a bridge loan Louisiana from OfferMarket is structured to keep your investment plans on track:

• Initial Advance — The upfront portion of your loan that covers the property purchase price. These funds are wired directly to your title company at closing.

• Construction Holdback — The part of your loan set aside for your rehab costs. These funds are reimbursed to you through draws as your project reaches key milestones.

One of the biggest advantages of working with OfferMarket is flexibility. You’re free to tailor your loan to fit your needs:

• Only need an initial advance? No problem.

• Only want a construction holdback? We’ve got you.

• Need both? Perfect — that’s what most Louisiana investors choose to maximize leverage.

For some investors, using their own funds for the rehab portion makes sense. Others might purchase a property with cash and use the construction holdback alone to finance up to 100% of their renovation budget.

With OfferMarket, your bridge loan Louisiana is designed to work for your strategy, not the other way around.

When using a bridge loan Louisiana, your exit plan will typically follow one of two paths

• Flip the property and cash out your profits
• Hold the property as a rental and refinance into a longer-term loan, such as a DSCR loan

One of the most valuable aspects of real estate investing is staying flexible. It’s quite common for investors to adjust their exit strategy along the way as the market shifts or financial projections change. If you’re unsure which approach makes the most sense for your project right now, there’s no pressure to decide immediately — taking your time can lead to smarter outcomes.

Consider this:
You may enter a deal expecting to execute a full BRRRR strategy — Buy, Rehab, Rent, Refinance, Repeat — planning to hold the property as a long-term rental. But after the rehab is complete, you might find that rental demand in your Louisiana market isn’t as strong as anticipated. Meanwhile, the resale market could be offering a great opportunity to sell at a healthy profit and reinvest your gains into a more promising rental deal elsewhere.

On the flip side, you might go into a project fully intending to flip the property. But if the housing market cools down unexpectedly, renting the property and refinancing into a DSCR loan with favorable terms could give you the time you need to wait for the market to rebound before selling.

These scenarios highlight why it’s so important to choose projects that offer dual exit strategies — giving you multiple paths to success and helping you reduce risk, no matter what direction the market takes.

Who Uses Bridge Loans in Louisiana

Our bridge loan Louisiana program is a go-to solution for many types of real estate investors across the state. Here’s who commonly takes advantage of this flexible financing option:

• Fix and flip investors ("flippers") — Investors who specialize in buying distressed properties, rehabbing them, and reselling for profit.

• Rental property investors (the “BRRRR Method” crew) — Those who buy properties, renovate them, rent them out, and then refinance to pull out their equity and repeat the process.

Check out our Fix and Rent bundle, which combines a bridge loan for your purchase and rehab with a discounted DSCR loan for your refinance — designed specifically for BRRRR investors.

It’s not uncommon for Louisiana real estate investors to use a hybrid strategy, flipping some properties while holding onto others as rentals, depending on how each project plays out. In fact, we consider this kind of flexibility a best practice among successful investors we work with every day.

Bridge Loan Program Guidelines

Project Eligibility

The focus here is to empower you to build wealth through smart real estate investments while managing risk effectively. Maintaining an ultra-low default rate is a top priority — historically, less than 0.5% of all originated loans have gone into foreclosure.

Investors with limited experience who take on large-scale or complex rehab projects face the highest risks. Extensive or heavy rehabs can lead to unexpected delays, cost overruns, and vulnerability to market downturns — even seasoned investors may face challenges in these scenarios, especially during uncertain economic times.

This is why, as your lending partner, the approach is not just to provide capital, but also to serve as your risk advisor. Setting clear guidelines and expectations helps ensure you’re positioned for success and able to safely grow your real estate business. The next section introduces the structured rehab classification system used to determine project eligibility.

Initial Advance

The amount available for your initial advance is determined by several key factors, including your personal credit profile, experience level, and the specifics of the deal.

• Experience matters: The number of investment properties you've owned in the last 24 months and the number of comparable completed rehab projects within the past 5 years both play a role.

• Credit score minimum: A credit score of 680 is required, though preference is given to guarantors with a score of 720+.

• Higher leverage for professionals: If you're a licensed Realtor, General Contractor, or Professional Engineer, you may qualify for enhanced leverage.

  If your contract purchase price is higher than the property's appraised As Is value (based on an appraisal report or internal valuation), the initial advance will be calculated from the lower of these two figures.

How exit strategy impacts your initial advance:

• If your plan is to sell the property, the deal must show a minimum 30% projected gross margin and at least $15,000 projected profit.

• If you’re aiming to rent and refinance, or if the flip scenario doesn’t qualify at your desired loan amount, the project must achieve at least a 1.1 DSCR after renovations.

You can use our DSCR calculator an Fix and Flip Calculator to examine your exit strategy

If the subject property has a rural designation, the loan-to-value ratio will be capped, and a minimum of three completed similar projects (experience level of 3+) will be required.

Experience-based Tiers

Initial Advance by Tier

Adjustments to Initial Advance

Several factors can influence your initial advance, either increasing or reducing the percentage of financing available. Here’s how different scenarios may impact your loan terms:

Rehab Scope Classification

(*) A "lopsided deal" refers to scenarios where the purchase price or As Is value is lower than the rehab budget. Specific limits apply under the LTFC guidelines discussed later.

Rehab Scope Eligibility

Your eligibility for rehab scope is determined by your level of experience and the classification of the renovation project. As part of a sound risk management approach, investors are encouraged to prioritize projects with lower rehab scopes — often known in the industry as “cosmetic” renovations — which tend to be simpler and faster to complete.

LTARV Limits

Your Loan-to-After-Repair Value (LTARV) — also known as ARLTV — defines the maximum loan amount as a percentage of your property's projected value after the renovation is complete. These limits vary based on your experience tier and the scope of the rehab.

LTFC Limits

Loan-to-Full-Cost (LTFC) limits apply to projects classified as Extensive, where the renovation budget equals or exceeds the purchase price or the As Is value of the property. LTFC is the ratio of the total loan amount to the total project cost (purchase price plus rehab budget). For these higher-risk projects, it’s essential that the borrower contributes a portion of the project costs to maintain proper alignment of interests.

For example, an LTFC limit of 85% means the lender will fund up to 85% of the total project cost, while the borrower is responsible for the remaining 15%.

Example: No Experience

• Purchase price: $100,000

• Experience tier: 1 (0 similar completed projects)

• Credit score: 695

• Rehab budget: $24,000

• ARV: $150,000

• Initial advance: $75,000 (75% of purchase price)

• Construction holdback: $24,000

• Total loan amount: $99,000

• LTARV: 66%

• LTFC: 79.8%

• Interest accrual: Full boat (interest charged on the entire loan amount)

Example: No Experience, Excellent Credit

• Purchase price: $100,000

• Experience tier: 1 (0 similar completed projects)

• Credit score: 750

• Rehab budget: $24,000

• ARV: $150,000

• Initial advance: $80,000 (80% of purchase price)

• Construction holdback: $24,000

• Total loan amount: $104,000

• LTARV: 69.33%

• LTFC: 83.9%

• Interest accrual: As disbursed (interest charged only on funds drawn)

Example: 5 Experience

• Purchase price: $100,000

• Experience tier: 4 (5 similar completed projects)

• Credit score: 750

• Rehab budget: $20,000

• ARV: $150,000

• Initial advance: $90,000 (90% of purchase price)

• Construction holdback: $20,000

• Total loan amount: $110,000

• LTARV: 73.33%

• LTFC: 91.67%

• Interest accrual: As disbursed (interest charged only on funds drawn)

Refinance Using As Is Value Instead of Cost Basis for Initial Advance

The standard lending approach focuses on your cost basis — that is, the total of your purchase price combined with any capital already invested into the project. This ensures that you maintain sufficient equity in the deal and remain financially aligned with the project’s success.

In certain refinance scenarios, you may own a property that is now worth more in its current condition (As Is value) than your original purchase price and sunk costs. If you are looking to leverage that increased value while also funding renovations, this approach allows for lending based on the As-Is value instead of the cost basis — but only under specific conditions.

Eligibility criteria for refinance using As Is value:

• The property must be habitable and classified at C4 condition or better — it cannot be in a state of disrepair.

• The property should be seasoned for at least three years.

• The loan being paid off should not be from a bridge or construction lender, and should not include default interest, extension fees, or late charges.

• A minimum credit score of 680 is required.

• You must meet experience Tier 3 or higher, with at least four similar completed rehab projects.

• There must be strong supporting evidence that the As Is value exceeds the cost basis, supported by neighborhood sales comps.

• The scenario should align with logical use of proceeds — for example, the property was rented for several years, the tenants have vacated, and it now requires updates to be marketed for sale.

Transactions Involving Wholesalers and Price Run-Ups

If the property was acquired through a wholesaler or via double-close transactions, there are guidelines regarding how assignment fees or price mark-ups impact the value basis used for lending.

The assignment fee or price increase may be included in your cost basis, but only up to 20% of the original seller’s contract price. Any amount beyond that limit will not be considered for financing.

Example scenario:

• Contract between original owner and wholesaler: $100,000

• Assignment fee to the investor (your purchase price): $125,000

• As Is market value: $125,000

• The eligible cost basis for initial advance: $120,000 (capped at 20% above the original contract price)

Guidelines for wholesaler transactions:

• Assignment fees or price increases can be included in the cost basis up to 20% of the original contract price.

• This inclusion may not apply if the property was listed on the MLS.

• Full documentation is required, including the chain of contracts (A-B, B-C), the wholesaler's operating agreement, and proof of arm’s length transaction.

• Finder’s fees or referral fees are not eligible for financing.

• All deals must maintain an arm's length relationship between the parties involved.

Construction Holdback

The construction holdback portion of your loan is distributed through a reimbursement process, based on completed work verified against your agreed-upon scope of rehab. Draw requests allow you to access these funds as the project progresses.

If you have the liquidity to cover rehab expenses upfront and prefer not to include a construction holdback, you have the option to proceed without it.

Additionally, for loan amounts of $100,000 or more, interest is charged only on the drawn construction holdback funds rather than on the full allocated amount.

Draw processing guidelines:

Appraisal and In-House Valuation

Every bridge loan requires a property valuation to determine lending terms. Depending on the specific details of the loan request, the valuation may come in the form of a third-party appraisal (interior or exterior) or an in-house assessment.

In-House Valuation

Even when a deal qualifies for an in-house valuation, the right remains to require an interior or exterior appraisal if deemed necessary.

Exterior Appraisal

An exterior-only appraisal may be acceptable for certain types of transactions. These include:

• Real estate owned (REO) sales

• Foreclosure auctions

• Sheriff’s sales

• Online auctions

• Bankruptcy-related sales

The appraisal must be dated within 120 days of settlement. If the appraisal is between 120 and 179 days old, a recertification will be required to confirm its validity.

Interior Appraisal

In all other scenarios not listed under exterior appraisal eligibility, a full interior appraisal will be required. The appropriate appraisal forms are determined by property type:

The lender will handle the appraisal ordering process through an approved appraisal management company (AMC). Borrowers are responsible for paying the AMC invoice, and loan processing will not proceed until this fee is paid.

Appraisal Transfer

If you have already ordered an appraisal through another lender, it may be possible to transfer that report for use in the loan application — provided certain conditions are met:

• The appraisal must have been ordered through an approved AMC.

• The report must be less than 180 days old at the time of loan closing.

• If the appraisal is 120 to 179 days old, recertification is required.

• The transferring lender must provide the following:

  • A signed transfer letter confirming compliance with Appraiser Independence Requirements (AIR).

  • The full appraisal report in both PDF and XML formats.

  • Proof of payment for the appraisal invoice.

This process allows flexibility while ensuring that valuation standards are upheld.

Scenario: Stabilized Bridge Loan

If the property you’re financing in Louisiana is in good condition and free of deferred maintenance — with an appraisal condition rating of C4 or better — the loan can be structured based on the As Is value. This option is referred to as a stabilized bridge loan, as the property is already stabilized and prepared for rental or sale.

Critical Loan Details

The following are the primary terms and requirements for bridge loans in Louisiana:

Extensions

Bridge loans are intended as a short-term solution, typically structured for 12 to 24 months, with most Louisiana investors completing projects well within that timeframe. While extensions are available, relying on them is not recommended as a primary strategy, since they add extra costs, additional interest, and increase the risk of foreclosure if the loan isn’t paid off by the extension deadline.

To minimize the likelihood of needing an extension, it's important to avoid common pitfalls such as:

• Working with inexperienced general contractors

• Taking on aggressive rehab scopes beyond your experience and liquidity levels

• Investing in areas with slow permitting or zoning processes

• Acquiring properties where you can’t immediately take possession (such as occupied units with tenants under lease or properties requiring eviction)

• Entering deals that lack clear dual exit strategies (sell or refinance options)

By managing these factors, you improve your chances of completing your Louisiana project on schedule and avoid the need for costly extensions.

Extension Limits

If your project requires additional time beyond the original loan term, extensions are available for up to 50% of the initial loan term. Extensions can be requested in increments of 3 or 6 months, subject to extension fees.

Extension Terms and Fees

If your project requires more time beyond the original loan term, you may request an extension. Extension fees are added directly to your payoff amount based on the length of the extension requested.

These fees help ensure responsible use of loan extensions and encourage timely project completion across Louisiana real estate investments.

Extension Prerequisites

To qualify for a loan extension, certain conditions must be met to ensure that the project remains secure throughout the extended term. Specifically, your builder’s risk insurance policy must remain active and cover the full duration of the extension period.

This requirement protects both the borrower and the lender by maintaining coverage against property damage and liability during the construction or holding phase of your project.

Ineligible Property Types

The following types of properties do not qualify for financing under this bridge loan program in Louisiana or other eligible states:

• Mixed-use properties

• Multifamily buildings with 5 or more units

• Condotels (condominium hotels)

• Co-ops (cooperative housing)

• Mobile or manufactured homes

• Commercial properties (non-residential use)

• Cabins or log homes

• Properties under oil or gas lease agreements

• Operating farms, ranches, or orchards

• Vacation or seasonal rentals

• Unique, exotic, or luxury homes outside conventional property types

• Properties accessed by unpaved or dirt roads

By focusing on traditional 1-4 unit residential investment properties, this program is designed to support stable, lower-risk projects for Louisiana investors.

Exception Scenarios

While most deals are subject to standard eligibility criteria, certain exceptions may be considered on a case-by-case basis, subject to additional review and risk assessment. These scenarios include:

• Guarantor credit scores between 660 and 679

• Leasehold properties (ground rent arrangements)

• Single-family homes with square footage between 500 and 699 sq ft

• 2-4 unit properties where one or more units are between 400 and 499 sq ft

• Funding initial advance based on As Is value when higher than cost basis

• Non-arm’s length transactions (related-party deals)

• Financed interest payments (added to loan balance instead of monthly payments)

Each exception is carefully evaluated to ensure proper risk management while allowing flexibility for investors in unique situations.

Borrower and Guarantor Requirements

The bridge loan program for Louisiana investment properties is structured for business-purpose lending only. To maintain clear qualification standards, borrowers and guarantors must meet the following requirements:

Liquidity Verification

To maintain strong financial footing throughout the course of your Louisiana bridge loan, a minimum level of liquidity is required. Specifically, the guarantor or guarantors must demonstrate access to liquid assets equal to at least the estimated cash to close plus 25% of the rehab budget.

This verification ensures that investors have the financial capacity to support their project, reducing the risk of delays or defaults.

Eligible liquid assets include:

• Bank accounts held in your personal name

• Bank accounts under the name of the borrowing entity (LLC or Corporation)

• Bank accounts owned by another business entity (requires verification of operating agreement)

• Brokerage accounts held in your personal name

• Brokerage accounts under the name of the borrowing entity

• Brokerage accounts owned by another business entity (requires verification of operating agreement)

• Retirement accounts in your personal name (subject to a 50% reduction due to limited accessibility of these funds)

Important notes regarding liquidity:

• A business bank account is not required for eligibility, though having one is considered best practice for proper accounting and risk management.

• Verified funds do not need to be moved from their current accounts. The only funds required to be transferred will be your cash to close, which is confirmed on your settlement statement and wired directly to the title company or real estate attorney handling your closing.

• Verification is based on reviewing your two most recent account statements, with no seasoning required for new accounts. If large deposits are present, a letter of explanation may be requested.

This liquidity standard helps ensure that investors in Louisiana have the financial stability to successfully execute their investment strategies.

Credit and Background Items

The following credit and background conditions apply to all Louisiana bridge loan borrowers and guarantors:

• When three credit scores are available from the tri-merge report, the middle score will be used.

• If two scores are provided, the lower score will be used.

• If no mortgage tradelines appear on the credit report, six months of interest reserves will be required.

• If fewer than five tradelines are listed, six months of interest reserves will also be required.

• Bankruptcy discharge must be at least four years prior to the loan settlement date.

• Foreclosure completion must be at least four years prior to settlement.

• If bankruptcy or foreclosure occurred between four and seven years prior, a minimum of three months of interest reserves will be required.

• Any late mortgage payments in the past 12 months will require a letter of explanation and may result in ineligibility, subject to loan committee discretion.

• All past-due balances on both mortgage and non-mortgage accounts (including HELOCs, home equity loans, and credit cards) must be paid in full before loan funding.

• Any involuntary liens or judgments (such as tax liens or child support obligations) must also be paid in full prior to closing.

• Borrowers with pending civil lawsuits must submit a letter of explanation and are subject to additional review.

• Borrowers with pending criminal charges are not eligible.

• Any history of financial crime, serious criminal activity, or repeat offenses may result in ineligibility, with decisions subject to loan committee discretion.

Interest Reserves

Interest reserves refer to funds collected at settlement and held in escrow to cover interest payments. These reserves are applied toward your accrued interest before you are required to make monthly payments directly from your account.

Financed Interest Payments

To help preserve liquidity for your project — especially during the renovation phase — you may qualify for financed interest payments. In these cases, monthly interest payments are not required upfront. Instead, the accrued interest is added to the loan payoff amount.

Example of financed interest payments:

• Loan amount: $100,000

• Interest rate: 12% annually

• Holding period: 9 months

• Accrued interest: $9,000 (calculated as $100,000 × 12% ÷ 12 × 9 months)

• Payoff amount: $109,000 (including unpaid interest)

This option allows you to conserve cash for other project expenses without the burden of monthly interest payments, while still keeping your credit healthy and project on track.

Property Sourcing Guidelines

To maintain responsible lending practices and ensure that Louisiana investors are well-positioned for success, specific sourcing guidelines apply to properties being financed through the bridge loan program.

Key points for property sourcing:

• For new market transactions, a General Contractor (GC) agreement is required, or you must provide a letter explaining why a GC is not necessary for your project.

• Deals involving wholesale transactions, price increases, or non-arm’s length relationships will require additional documentation and a thorough review process.

• For projects that involve condominium conversions or significant renovations, supporting documentation from an architect or engineer (or applicable permits) may be required.

• All loan submissions must include the necessary documentation for review and approval.

Required documentation:

• Purchase contracts and settlement statements

• Payoff letters (for refinance transactions)

• Borrower track record and experience history

• Formation documents for the borrowing entity (LLC or Corporation)

• Scope of work with detailed rehab budget

• Appraisal report (ordered through the lender’s appraisal management process)

• Bank statements for liquidity verification

• Letters of explanation when requested (for items such as large deposits, late payments, or background concerns)

These sourcing guidelines are in place to help ensure that funded projects in Louisiana meet quality standards and are well-positioned for successful execution.

Bridge Loan Insurance Guidelines

Proper insurance coverage is a critical component of project risk management. Investors using the bridge loan program for Louisiana properties are required to maintain specialized coverage known as builder’s risk insurance or fix and flip insurance. This policy protects against physical damage to the property during construction or rehab, as well as liability coverage for potential on-site incidents.

Required coverage and limits:

Coverage Details

💡 Additional Insurance Pro Tips

• Install smoke detectors, locks, and security cameras as soon as you take ownership of the property.

• These safety measures not only help meet insurance requirements but also reduce the risk of denied claims in the event of damage or loss.

Frequently Asked Questions

What states are eligible for bridge loan funding?

This bridge loan program is available for real estate investment properties across most U.S. states, including Louisiana. Below is the list of all eligible states:

Alabama, Arizona*, Arkansas, California, Colorado, Connecticut, Delaware, Florida, Georgia, Hawaii, Idaho, Illinois, Indiana, Iowa, Kansas, Kentucky, Louisiana, Maine, Maryland, Massachusetts, Michigan, Mississippi, Missouri, Montana, Nebraska, Nevada*, New Hampshire, New Jersey, New Mexico, New York, North Carolina, North Dakota*, Ohio, Oklahoma, Oregon, Pennsylvania, Rhode Island, South Carolina, South Dakota*, Tennessee, Texas, Utah, Vermont*, Virginia, Washington, Washington DC, West Virginia, Wisconsin, Wyoming.

In certain states where an NMLS license is required for business-purpose lending (such as Arizona, Nevada, Minnesota, North Dakota, South Dakota, Utah, and Vermont), loans may be referred to a licensed capital provider rather than being funded directly.

Can I have more than one bridge loan at the same time?

Yes, it is possible to hold multiple bridge loans at once. Many investors working on several projects across Louisiana and other states utilize more than one bridge loan simultaneously. However, project pacing and liquidity are key factors in determining eligibility for additional loans. If it appears that your current cash position or project timelines could be stretched too thin, risk management discussions may be initiated to ensure your projects stay on track.

Are bridge loans considered commercial loans?

Yes, bridge loans for investment properties, including those in Louisiana, are classified as commercial loans. These loans are designed strictly for business-purpose use and are issued to the borrowing entity (LLC or Corporation), not to individuals in their personal capacity.

What is the minimum loan amount available?

The minimum loan amount available under this program is $25,000.

Which property types qualify for bridge loan financing?

Eligible property types include:

• Non-owner occupied 1-4 unit residential properties

• Single-family homes

• Townhomes

• Small multifamily properties (2-4 units)

• Warrantable condominiums

Note: The following property types are not eligible under this program: 2-4 unit mixed-use properties, 5-9 unit mixed-use buildings, 5-9 unit multifamily properties, 10+ unit multifamily properties, or non-residential commercial assets (such as retail, office, or industrial).

How is Loan-to-Value (LTV) calculated?

For bridge loans, the loan-to-value ratio typically refers to the loan-to-after-repair-value (LTARV). LTV may also apply when referencing the current As Is value. In purchase transactions, the initial advance is based on the lower of the contract purchase price or the appraised As Is value. For refinance scenarios, the initial advance is calculated based on the As Is value.

LTARV represents the total loan amount (including both the initial advance and construction holdback) divided by the after-repair value of the property as determined by appraisal or valuation.

What are the credit score requirements?

A minimum FICO score of 680 is required for this program. Borrowers with scores between 660 and 679 may still qualify on an exception basis, subject to additional review.

Credit scores are evaluated for each individual who will be personally guaranteeing the loan. Members of the borrowing entity who are not providing a personal guaranty are not subject to credit score requirements.

Do I need prior real estate experience to qualify?

No prior experience is required to be eligible for a Louisiana bridge loan. However, investors with verifiable experience in similar projects may qualify for higher leverage and more favorable loan terms. The experience-based tier system allows borrowers with completed rehab projects to access greater loan-to-value ratios and financing flexibility.

When applying, you will be asked to complete the Track Record section of your loan file. Documentation such as settlement statements or operating agreements may be required to verify your experience.

Does wholesaling count toward experience?

Wholesale participation does not count toward your experience tier. Since wholesalers are not financially responsible for the rehab process or project execution, these transactions do not contribute to the verifiable project completion history required for tier qualification.

What documentation is required to apply?

The application process for a Louisiana bridge loan involves submitting key documents through the Loan File system, which helps streamline approvals and allows documents to be reused for future transactions. The required documentation varies slightly between purchase transactions and refinance transactions, as shown below.

Documentation for Purchase Transactions

Documentation for Refinance Transactions

Are there different guidelines for loans over $1 million?

Yes, for loans exceeding $1 million (up to the program’s $2 million maximum), additional eligibility standards apply. These guidelines help ensure that larger projects maintain proper risk management and borrower qualification.

Glossary of Key Terms

Instant Bridge Loan Louisiana Quote

The Louisiana bridge loan program provides fast, dependable funding for real estate investors working on 1-4 unit residential properties throughout the state. Whether you’re flipping homes, refinancing, or pursuing a BRRRR strategy, this loan is designed to help you move quickly on your next opportunity.

Membership benefits include:

• Private lending for Louisiana investment properties

• Insurance rate shopping

• Access to off-market deals

• Market insights to support your investment decisions

Get your instant quote today and take the next step toward growing your real estate portfolio in Louisiana.

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Thousands of real estate investors get value from OfferMarket every month. Membership is entirely free and includes the following benefits:

💰 Private lending
☂️ Insurance rate shopping
🏚️ Off market properties
💡 Market insights

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