Bridge Loans are short-term senior debt loans that are utilized to ‘bridge’ the gap between two permanent loans. Bridge loans can be beneficial to a borrower to facilitate a quick closing, usually with less restriction than a permanent loan from a traditional lender. Bridge loans can be helpful to fix a short-term issue with a property, such as lease turnover or owner credit issues, or to capitalize on a fluctuation in the market. Term length is typically 6-36 months, with higher interest rates than permanent loans, but possibility for interest-only payments. Bridge loans are taken-out by capital from either sale of the property, or a refinance into a permanent loan.