Vacant Properties - Bridge vs. DSCR Speed Comparison

[Julien Hill]

Quick question for the community:

Do you automatically default to bridge loans for vacant property acquisitions?

I keep seeing investors choose bridge when properties are vacant or they think they'll exit in the near term, but I'm curious if people are comparing both options.

Here's what I'm seeing:

Most investors assume:

• Vacant property = bridge loan needed
• Quick exit planned = bridge loan needed
• DSCR = too slow for vacant properties

The reality on DSCR:

We finance vacant properties (we don't finance renovations, but vacant-to-lease or vacant-to-sale works fine).

Speed: 18-day average closings. We've closed in as little as 5 days. If you need a quick close, we can accommodate whatever timeline is needed.

Structure: Low prepay DSCR gives you exit flexibility without bridge pressure or bridge costs.

The comparison:

Bridge:

• Higher rates
• Short timeline pressure
• Expensive if you hold longer than expected

DSCR with low prepay:

• Lower rates
• Exit when you're ready
• Same speed if you need it (18 days avg, 5 days possible)

When bridge makes sense: Heavy renovations, major construction

When DSCR might be better: Vacant-to-lease, quick sale plans, portfolio holds, high-balance luxury deals where costs matter

Question for the community:

Have you compared both options? Or is bridge the automatic default for vacant properties?

What's been your experience with closing speed on DSCR vs. bridge?

Curious what everyone's seeing.