Colorado splits into two very different large-bridge markets: Front Range rentals and small multifamily from Fort Collins to Colorado Springs, and mountain towns where a single home can pass $3M and short-term rental licenses are limited.
In short: LendingStreet provides Colorado bridge loans from $1M to $5M+ on 1-8 unit investment properties, with rates from 7.99% and closings in as little as 10 days. Larger balances are reviewed case by case and usually need a full valuation. Colorado investors use them for Denver-area small multifamily, rental packages and high-value mountain homes, then refinance into DSCR or jumbo DSCR.
In Denver, single homes in Washington Park, Cherry Creek, the Highlands and Platt Park often sell above $1M, and duplexes and small 5-8 unit buildings trade in neighborhoods like Capitol Hill, Baker and Berkeley. Aurora, Lakewood, Arvada and Thornton offer packages of single-family rentals.
Boulder and Fort Collins add student and professional rental demand. Colorado Springs has a large military and defense workforce around Fort Carson, Peterson and the Air Force Academy. In the mountains, Breckenridge, Vail, Steamboat Springs, Telluride and Aspen have some of the highest prices in the country.
Pueblo and Grand Junction have lower prices, so a $1M+ bridge there usually covers several homes or a small apartment building rather than a single rental.
| Area | Typical large bridge use | Watch for |
|---|---|---|
| Denver core | Small multifamily, high-value homes | Denver rental license and inspections |
| Aurora, Lakewood, Arvada, Thornton | Packages of single-family rentals | HOA leasing rules |
| Colorado Springs, Fort Collins, Boulder | Military, student and professional rentals | Occupancy limits in some college towns |
| Mountain resort towns | Single high-value homes | STR license caps and local transfer taxes |
A few situations account for most Colorado requests above $1M:
Bridge loans start at $150,000 and go to $5M+, rates from 7.99%. Above $1M nothing about the product changes, but the review gets deeper. Expect questions about your track record, reserves after closing and how you will repay.
Unlike some smaller bridge files, a large balance usually needs a full valuation. Order it the day terms are accepted and a 10-day close stays possible. The loan is interest-only for a short term while you sell, lease or refinance.
Colorado reappraises property every two years, and the residential assessment rules have been changed by the legislature several times recently. Use the county assessor's current numbers, not old bills, when you estimate taxes for the refinance.
The state documentary fee is small, but several mountain towns charge their own real estate transfer tax, which can add a meaningful amount on a $2M+ purchase. Along the Front Range, hail is a major insurance issue: roof age and deductibles matter, and wildfire exposure affects coverage in foothill and mountain areas.
This example is illustrative and not a quote. An investor buys a six-unit brick building in Capitol Hill for $1,800,000. Two units are vacant and need kitchens and baths.
The two units are renovated and leased, the building passes its rental license inspection, and it refinances on combined rent.
Max LTV on 5-8 unit properties and larger balances varies by program and can be lower, so this example uses 65%. Low taxes help the ratio; older systems in brick buildings are the risk to budget for.
Denver generally limits short-term rentals to the host's primary residence, so non-owner-occupied STRs inside the city usually do not qualify. Denver also requires residential rental licenses with inspections for long-term rentals.
Many mountain towns and counties cap the number of STR licenses, use waitlists or restrict them by zone, and rules change often. Confirm a license is available or transferable before you buy a mountain home for rental income, and check whether the HOA allows short stays.
Many newer subdivisions in Aurora, Thornton, Castle Rock, Erie and other Front Range suburbs are inside metropolitan districts. These special districts fund roads, water and parks and add their own tax levy to the property tax bill, sometimes a large one.
Metro district taxes count in the monthly payment used for the DSCR ratio, so a home that looks affordable on price can produce a weaker ratio than an older home with a lower tax bill. Check the full tax breakdown for every property in a package.
HOAs in these communities may also limit leasing or require minimum lease terms. Read the covenants for each home before you count its rent in the refinance.
A bridge buys time. The plan for that time should end in a sale or in a 30-year DSCR or jumbo DSCR loan sized on lease income, with LLC borrowers standard and no tax returns. Minimum DSCR on standard programs is 1.0x and minimum credit is 620.
Know your target refinance amount on day one. If the refinance will not cover the bridge payoff, plan the cash you will bring or the property you will sell.
Close speed depends on what we get on the first day. For a $1M+ request, send:
It depends on local license caps and zoning. Confirm license availability before you buy; on some programs the refinance can use short-term rental income.
Yes. Denver requires residential rental licenses with an inspection, and the file should show the property can meet them.
Several do. They are set locally and can be significant on high-value purchases, so ask your title company.
It affects insurance cost and deductibles, which count in the DSCR payment. Roof age and condition are worth checking before closing.
Plan on it. Larger balances usually need a full valuation, and getting it scheduled the first week is what keeps a quick close possible.
In as little as 10 days when the valuation, title and entity documents move quickly. Complex packages can take longer.
From $150,000 to $5M+ on 1-8 unit rentals, with the largest balances reviewed individually.
Yes. That is the most common exit. A DSCR loan qualifies on rent, and balances of about $1.5M and up go into jumbo DSCR.
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