Bridge Loan Utah

Last Updated: May 2, 2025

At OfferMarket, our mission is to help you grow your wealth through savvy real estate investments. Our platform is designed to streamline every aspect of that journey, providing powerful tools including:

💰 Direct access to private lending
☂️ Competitive insurance quotes
🏚️ Exclusive off-market property opportunities

Our Bridge Loan program is crafted with Utah investors in mind—speedy, reliable, and cost-effective financing for acquiring and improving residential investment properties (1–4 units).

Whether you're planning to renovate and resell for profit or you intend to stabilize the property and refinance into a DSCR loan, we’re here to support your success and help you close with confidence.

Let’s dive into how the OfferMarket Bridge Loan works in Utah.

What is a bridge loan?

A bridge loan is a short-duration financial solution that bridges the gap between immediate needs and long-term financing.

Bridge loan use cases

For Utah-based real estate investors, bridge loans are frequently used in the following ways:

• Acquiring and upgrading outdated properties without draining personal savings

• Refinancing properties bought with cash, followed by renovations to bring them to market

• Replacing an existing loan to finish remodeling and then exiting through sale or DSCR refinance

• Snapping up under-market deals across Utah without any plans to rehab, aiming to resell “as is”

• Accessing cash from a recent below-market cash purchase to fund your next opportunity

• Restructuring debt on a property that’s already been rehabbed but not yet sold or refinanced

In the investment world, bridge loans are often synonymous with “hard money loans” or “fix and flip loans.” The terminology may vary, but the intent remains the same: provide short-term capital to seize time-sensitive opportunities.

How it works

Bridge loans from OfferMarket have two primary components:

• Initial Advance – This is the portion of your total loan allocated to your purchase price and wired to the title company at settlement.
• Construction Holdback – This is the portion earmarked for renovation costs, disbursed via reimbursement draws as the project progresses.

These loans are incredibly flexible. If you’re funding your own renovation, you can opt out of the construction holdback. Alternatively, if you already own the property and only need help financing the rehab, you can receive just the holdback.

In Utah, investors often leverage both components to maximize returns and minimize the use of their own capital. Still, there are plenty who prefer to handle the renovations themselves or who simply don’t intend to improve the property—every strategy has its place in a dynamic market like Salt Lake City, Ogden, or Provo.

Whether you plan to flip your Utah property or refinance it into a long-term DSCR loan, a clear exit plan is critical—but flexibility is key.

Utah’s real estate market can shift fast. You might begin with the BRRRR method—Buy, Rehab, Rent, Refinance, Repeat—but then find resale demand is strong and pivot to a flip for a solid profit.

Conversely, if you anticipated a quick resale but the market slows, holding the property as a rental and refinancing into a DSCR loan could be the smarter move.

The takeaway? Choose projects with multiple viable exit routes. This kind of strategic optionality is a smart hedge in Utah's ever-evolving investment landscape.

Who uses bridge loans?

Bridge loans are a staple for:

• House flippers who buy, renovate, and sell

• BRRRR investors focused on long-term rentals

Utah real estate investors often straddle both strategies depending on the deal. Flexibility is the norm, not the exception. At OfferMarket, we encourage this blended approach because it gives our clients the ability to adapt based on outcomes and opportunity.

Pro Tip: Check out our Fix and Rent bundle—start with a bridge loan and roll into a discounted DSCR refinance. It’s a seamless way to keep your Utah investment pipeline flowing.

Bridge Loan Program Guidelines

Here’s what you need to know about how our bridge loan program is structured for Utah investors:

Project Eligibility

At OfferMarket, our top priority is protecting your investment while helping you build lasting wealth through real estate. Utah's investment opportunities are exciting—but they’re not without risk. That’s why we’re selective about the types of projects we fund.

Our default rate is under 0.5%, and we intend to keep it that way by aligning with borrowers who understand and respect risk.

Heavy and extensive rehab projects can be particularly challenging in Utah, especially when market conditions are uncertain. These deals are more susceptible to delays, cost overruns, and unexpected regulatory or construction hurdles.

We view ourselves as your partner—providing not just capital, but also risk guidance and deal advisory services. To help you make smart decisions, we classify rehab scopes and establish clear eligibility criteria for each.

Initial Advance

The amount you can receive upfront depends on a few factors, including your credit score, track record, and the specifics of your Utah property.

Here’s what we evaluate:

• Your experience: number of comparable projects completed in the past 5 years

• Ownership history: properties held in the past 24 months

• Credit: minimum 680, though 720+ is preferred for enhanced terms

• Occupation: extra leverage for licensed Realtors, General Contractors, or Engineers

• Appraised value: if your Utah purchase price is higher than the appraised “As Is” value, the lower number determines the loan amount

Exit strategy impacts your advance
For fix-and-flip projects, we expect a minimum 30% gross ROI and at least $15,000 in projected profit.
For BRRRR projects, your post-rehab DSCR should be 1.1 or better. We offer calculators to help you analyze both exit paths.

Rural property?
If your Utah property is in a rural area, the initial advance may be capped, and you’ll need a minimum of three completed projects under your belt.

Experience-based Tiers

Your verifiable experience affects your leverage. Here’s how our tier system works:

Initial Advance by Tier

Your tier determines how much of your Utah purchase we’ll finance upfront:

\* Tier 1 borrowers may qualify for 85% if credit and liquidity are exceptional.*

Adjustments to Initial Advance

While your tier sets your base leverage, we fine-tune it based on factors unique to your Utah property and borrower profile.

Rehab Scope Classification

To assess project risk, we categorize Utah rehab projects into four levels:

Note: A “lopsided deal” is when the purchase price or As Is value is lower than the renovation budget.

Rehab Scope Eligibility

Here’s what’s allowed based on your experience level:

In Utah markets like Salt Lake City, Sandy, and Lehi, we see strong success with cosmetic or light-to-moderate rehabs that can be turned quickly.

LTARV Limits

Your Loan-to-After-Repair Value (LTARV) is the ratio of your total loan amount to the property’s expected value after renovation.

LTFC Limits

Loan-to-Full-Cost (LTFC) is used for extensive rehabs where the budget exceeds the purchase price.

This ensures the borrower has meaningful equity in high-risk deals—essential for complex Utah rehabs or additions.

Example: No Experience

• Purchase price: $100,000

• Tier: 1 (0 completed projects)

• Credit score: 695

• Rehab budget: $24,000

• ARV: $150,000

• Initial advance: $75,000 (75%)

• Construction holdback: $24,000

• Total loan: $99,000

• LTARV: 66%

• LTFC: 79.8%

• Interest accrual: Full Boat

Example: No Experience, Excellent Credit

• Credit score: 750

• Initial advance: $80,000 (80%)

• Total loan: $104,000

• LTARV: 69.3%

• LTFC: 83.9%

• Interest accrual: As Disbursed

Example: 5 Completed Projects

• Tier: 4

• Credit score: 750

• Purchase price: $100,000

• Rehab budget: $20,000

• ARV: $150,000

• Initial advance: $90,000 (90%)

• Construction holdback: $20,000

• Total loan: $110,000

• LTARV: 73.3%

• LTFC: 91.7%

• Interest accrual: As Disbursed

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

In many Utah markets—especially where appreciation is strong—it’s common for investors to want leverage against a property's current market value rather than just the original cost.

We support this, with the following conditions:

• Property must be habitable and in C4 condition or better

• Must be seasoned for at least 3 years

• No bridge or construction lenders on the payoff, and no default interest or excessive fees

• Guarantor must have a credit score of 680+

• Experience Tier 3 or higher (minimum 4 completed projects)

• Market comps must strongly support As Is value

• Scenario should be logical—e.g., property was rented for several years and is now being renovated for sale

This approach allows Utah investors to responsibly tap into equity without overleveraging.

Transactions Involving Wholesalers, Price Run-Ups

We understand that many Utah investors acquire properties through wholesalers. If the transaction involves a markup, we can include the price difference in the value basis—within reason.

For example:

• A-B Contract (original owner to wholesaler): $100,000

• B-C Contract (wholesaler to investor): $125,000

• As Is Value: $125,000

• Maximum includable value: $120,000 (20% cap above A-B price)

You’ll be responsible for any price increase beyond the 20% threshold.

Wholesaler Transaction Guidelines:

• Assignment fee or double-close markup allowed up to 20% over original A-B contract

• We will not allow financing of markup beyond that limit

• Property must not be listed on the MLS

• Chain of contracts and the wholesaler’s operating agreement are required

• We do not finance referral or finder’s fees

• Transactions must be arm’s length

This allows our Utah investors to work with wholesalers while ensuring responsible leverage and transparency.

Construction Holdback

Construction holdbacks are funded based on completed work, reimbursed through draw requests.

If you have sufficient cash and don’t need a holdback, you can opt out.

Good news for larger loans: If your loan amount is $100K or more, you won’t be charged interest on undrawn rehab funds (as disbursed accrual).

Appraisal and In-House Valuation

We require a valuation for all Utah bridge loans. Depending on your tier and property characteristics, this may be an interior appraisal, an exterior appraisal, or an in-house review.

In-House Valuation

We may use our internal valuation system for qualified Utah borrowers.

OfferMarket reserves the right to require an appraisal even if the above criteria are met.

Exterior Appraisal

We allow exterior-only appraisals for distressed or auction acquisitions, including:

• REO sales

• Foreclosure or sheriff sales

• Bankruptcy and online auctions

Exterior appraisals must be dated within 120 days of settlement. If 120–179 days old, a recertification is required.

Interior Appraisal

All other Utah bridge loans require a full interior appraisal.

Appraisals must be ordered by OfferMarket, and you’ll be responsible for paying the appraisal invoice before the process can move forward.

Appraisal Transfer

Already have a recent appraisal? You may be able to transfer it.

Eligibility:

• Ordered via approved appraisal management company

• Less than 180 days old at time of loan closing

• Recert required if 120–179 days old

• Transfer must include:

  • Signed transfer letter with AIR certification

  • PDF and XML appraisal files

  • Invoice showing appraisal was paid

Scenario: Stabilized Bridge Loan

For Utah properties that are already stabilized—meaning they’re habitable and require no major renovations—we offer financing up to 75% of the current As Is value. This is called a Stabilized Bridge Loan.

This works well for:
Salt Lake City landlords repositioning rental portfolios or investors who’ve inherited a turnkey property with equity.

Key Loan Details

Here’s a breakdown of the terms that apply to your Utah bridge loan:

Note: Utah is excluded from direct lending—loans here are funded via licensed partners. We still facilitate everything end-to-end.

Extensions

Bridge loans are meant to be short-term tools. In Utah’s active markets, most loans are repaid within 12 months.

Avoid extensions by steering clear of:

• Inexperienced or underqualified general contractors

• High-risk, high-scope projects without matching experience

• Areas with slow permitting (some rural Utah counties apply)

• Occupied properties where access is delayed

• Projects lacking both flip and rent exits

Avoiding these pitfalls will help you stay on schedule and under budget.

Extension Limits

If needed, you can extend your loan by up to 50% of the original term. Here’s how that works:

Extension Terms and Fees

Extension fees are added to your final payoff amount:

Extension Prerequisites

Before extending, you must confirm your builder’s risk insurance is valid for the new loan term.

Ineligible Property Types

We do not offer Utah bridge loans for the following property types:

• Mixed-use buildings

• 5+ unit multifamily

• Condotels, co-ops

• Mobile/manufactured homes

• Commercial real estate

• Cabins or log homes

• Properties with oil/gas leases

• Operating farms or ranches

• Vacation rentals

• Properties with unpaved roads

• Exotic or ultra-luxury homes

Exception Scenarios

We may consider these exceptions:

• Guarantor credit score 660–679

• Leasehold/ground rent properties

• SFR between 500–699 sq ft

• 2–4 units with any unit 400–499 sq ft

• Initial advance based on As Is value above cost

• Non-arm’s length transactions

• Financed interest payments

All exceptions require underwriting review and documentation.

Borrower and Guarantor Requirements

Liquidity Requirements

To ensure you're financially ready for your Utah bridge loan, we verify that you—or the guarantor(s) of your entity—have:

• The estimated cash to close

• Plus 25% of the rehab budget in liquid reserves

Eligible liquid assets include:

• Personal or business bank accounts

• Business accounts (with documentation)

• Brokerage accounts

• Retirement accounts (50% value applied)

Verification:
We’ll review your two most recent statements. No seasoning required, and large deposits just need a Letter of Explanation (LOE).

Credit and Background Items

We take credit and background checks seriously—especially in fast-moving markets like Salt Lake City or Provo.

Key requirements:

• For 3 scores: we use the middle

• For 2 scores: we use the lower

• No mortgage tradelines? → 6 months of interest reserves

• Less than 5 tradelines? → 6 months of reserves

Background checks:

• Bankruptcy or foreclosure must be ≥ 4 years from settlement date

• Between 4–7 years? → 3 months of reserves

• Past due debts must be cleared before funding

• Involuntary liens/judgments must be resolved

• Pending lawsuits require an LOE

• Financial or serious crimes = ineligible

• Repeat issues → reviewed case-by-case

Interest Reserves

In some cases, we collect interest payments upfront at closing. These are held in escrow and applied monthly before you need to start making payments.

Financed Interest Payments

Want to preserve cash flow during your Utah rehab? You might be eligible for financed interest payments, meaning you won’t make monthly payments—interest accrues and is paid at payoff.

Example:

• Loan amount: $100,000

• Interest rate: 12%

• Term: 9 months

• Accrued interest: $9,000

• Payoff:

  • Principal: $100,000

  • Interest: $9,000

This setup is ideal if you want to avoid using credit cards or dipping into reserves.

Property Sourcing Guidelines

Utah investors, please review these sourcing notes:

• New markets: must provide GC agreement or LOE if self-managed

• Wholesale, price-jump, or non-arm’s length deals → extra review

• Large-scale rehabs or condo conversions may require engineer or architect input

• You’ll need to submit your contract, scope, formation docs, and past projects

We keep things simple, but we still underwrite thoroughly to protect your success.

Bridge Loan Insurance Guidelines

Bridge loan insurance—also called builder’s risk or fix and flip insurance—is required for Utah bridge loans.

You must insure both the property and yourself against:

• Physical damage

• Loss

• Liability (accidents on-site)

Required coverages:

Coverage Details

Pro tip for Utah investors:
As soon as you close, install smoke detectors, locks, and security cameras. These simple steps ensure compliance and reduce the risk of claim denial.

Frequently Asked Questions

What states does OfferMarket fund bridge loans?

We provide bridge loans across nearly every U.S. state. In locations where we aren’t licensed to lend directly—like Utah—we connect your loan with a fully licensed capital partner.

\States marked with an asterisk are served via capital providers licensed in those jurisdictions.*

Can I get multiple bridge loans at the same time?

Yes. It’s very common for real estate investors—Utah included—to have several bridge loans active. That said, we’ll always check that your liquidity and project pace align before funding additional deals.

Are bridge loans considered commercial loans?

They are. Even though the subject property may be residential, your bridge loan is issued to a business entity (like an LLC), which means it qualifies as a commercial loan.

What's the minimum loan size?

The smallest bridge loan we offer starts at $25,000—whether you’re picking up a small home in rural Utah or a condo in downtown Salt Lake City.

What types of properties are eligible?

We fund non-owner occupied residential properties with 1 to 4 units:

• Single-family homes

• Duplexes, triplexes, fourplexes

• Condominiums and townhomes (warrantable only)

Note: We do not fund mixed-use, commercial buildings, or luxury/vacation properties under this program.

How do you calculate Loan-to-Value (LTV)?

We primarily evaluate Loan-To-After-Repair Value (LTARV):

• For purchases: we compare the total loan amount (purchase + rehab) to your projected ARV

• The initial advance is calculated using the lesser of the purchase price or the appraised As Is value

What are the credit score requirements?

A minimum 680 FICO is needed to qualify. If your score is between 660 and 679, we may approve with additional reserves or under exceptions. We only assess the scores of guarantors, not passive entity members.

Do I need past project experience to qualify?

No experience is necessary. Many first-time Utah investors get approved. However, having a few completed projects under your belt will improve your leverage and loan terms.

Does wholesaling count as experience?

No. If you wholesaled a deal but didn’t actually renovate or fund it, it won’t count toward your experience tier. We only count hands-on project involvement where you assumed financial responsibility.

What documentation is required?

We’ve made it simple to gather and upload everything needed to get your bridge loan in Utah funded fast. Our platform keeps your documents stored securely to streamline future applications.

Purchase Transaction Requirements

To get a Utah property under contract funded, we’ll need the following:

Refinance Transaction Requirements

Already own a property in Utah and want to refinance? We’ll need:

Are there special requirements for loans over $1M?

Yes. For bridge loans exceeding $1,000,000 in Utah, we apply enhanced underwriting standards.

Glossary of Key Terms

Here’s a quick reference guide for terms you’ll see throughout your loan documents and dashboard:

Instant Bridge Loan Quote

OfferMarket Capital LLC—our private lending division—specializes in fast, flexible bridge loans for investors like you. Even in Utah, where we operate via partners, you get access to:

💰 Reliable private capital
☂️ Smart insurance options
🏚️ Off-market deal flow
💡 Expert insights

Let’s grow your Utah investment business together.

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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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