Large bridge deals in central Iowa are usually about volume: a builder selling a row of new twin homes in one transaction, a long-time landlord selling a portfolio, or an investor who needs to pay off a note before the long-term financing is ready.
In short: LendingStreet makes residential investor bridge loans of $1M to $5M+ in Des Moines and central Iowa, from a program that starts at $150,000, with rates from 7.99%. Loans are short-term and interest-only, can close in as little as 10 days, and exit by sale or by refinancing into DSCR, blanket or jumbo DSCR loans. Larger balances usually need a full valuation, and in a market with Des Moines' price levels, most seven-figure requests involve several properties rather than one.
Single homes above $1M exist in West Des Moines, Waukee, Johnston and the Salisbury Oaks area, but they are a small share of investor activity. Most large bridge requests here are bulk purchases of newly built twin homes or single-family rentals from builders, portfolios sold by long-time landlords, small apartment buildings near Drake and Ingersoll, and payoffs of maturing loans on existing portfolios.
Bridge works because these deals often need to close before a long-term loan can be underwritten, or the properties need lease-up first.
| Request | Typical Des Moines example | Exit |
|---|---|---|
| Bulk new-build purchase | Row of twin homes in Ankeny or Altoona | Blanket or individual DSCR loans |
| Landlord portfolio | Homes across Beaverdale, the south side and Urbandale | Blanket portfolio loan |
| Small buildings | 5-8 unit walk-ups near Drake and Ingersoll | DSCR loans after renovation |
| Maturing note | Local bank loan on a rental portfolio | DSCR or blanket refinance |
| High-value home | West Des Moines or Waukee resale | Sale or jumbo DSCR |
This example is illustrative and not a quote. An investor agrees to buy 6 newly finished single-parcel twin homes, 12 units in all, from a builder for $2,370,000, about $395,000 each. The builder wants to close quickly. A bridge loan at 75% of the price is $1,777,500, with estimated interest-only payments of about $15,553 a month during lease-up.
Over the next few months all 12 units lease at $1,650, or $19,800 a month. The stabilized homes are valued at $2,520,000, and a refinance at 75% of value is $1,890,000, which repays the bridge.
Estimated principal and interest on the long-term loan is about $12,893. Taxes of about $3,360 a month and insurance of about $900 bring the payment to about $17,153, a DSCR of about 1.15x. If the homes carry new-construction tax abatement, the investor should confirm when it ends and test the ratio on the full bill.
Larger balances usually need a full valuation of each property. On a bulk new-build purchase, the appraiser will look at recent sales and rents of comparable new twin homes, and on a portfolio, at each address's condition and lease status. Pricing on large balances is set case by case.
Bulk purchases raise a specific question: whether the price per home reflects a volume discount compared with retail sales of the same plan. Appraisers value each home on its own, so a good bulk price can create equity at the refinance, while a price at or above retail leaves less room. Bring the builder's retail price list and recent closed sales in the same subdivision.
Bridge loans can close in as little as 10 days with a complete file. On multi-property deals, the timing drivers are title on each parcel, insurance binders and, for new builds, certificates of occupancy. Iowa's title system relies on abstracts and attorney opinions or a state title program, so give the title review time on every parcel.
Many Des Moines portfolios are financed by community banks on loans that balloon every few years. When a balloon arrives before rents are stabilized or before you are ready for a long-term refinance, a bridge loan can pay it off and buy time. Match the bridge term to the work you need to finish, with room for delays.
Get the payoff letter early, and gather leases, rental certificates and tax bills for each property while the bridge closes, so the long-term refinance file is nearly complete by the time rents are where you need them.
Packages of rentals usually exit into a blanket portfolio loan, which qualifies on combined cash flow and allows releases when you sell a property. Small buildings exit into individual DSCR loans. A high-value West Des Moines home can exit by sale or, if held, into a jumbo DSCR loan sized to the rent.
Polk County revalues in odd-numbered years and Iowa's rollback changes annually; owner-occupant credits do not apply to investors. Budget exit taxes at investor levels and check abatement schedules.
Experience with similar properties, a leasing plan backed by rent comparables from the same suburb or neighborhood, and a builder or seller with a clean record of delivering finished homes all help. On bulk new-build purchases, a punch list signed off before closing and warranties that transfer to you reduce the risk of surprises during lease-up.
Reserves matter more on a seven-figure balance. Show enough liquidity to cover several months of interest and any unexpected costs, and the review moves faster. If you already own rentals in the metro, include your rent roll; a track record of leasing similar homes is strong evidence for the plan.
Interest-only payments on a seven-figure balance add up. Build a carry budget that covers interest, taxes, insurance and utilities for vacant units through lease-up. In winter, leasing can slow, and exterior work on older buildings may wait for spring. Keep reserves outside the loan.
Send the property list, purchase price or payoff, rent roll or leasing plan, any renovation budget and your planned exit through the form below, or call (877) 298-1001. Larger balances are reviewed case by case.
Yes. Our residential investor bridge program runs from $150,000 to $5M+, with larger balances reviewed case by case.
Rates start from 7.99%. Pricing depends on leverage, the properties and the exit.
Yes. Bulk purchases of 1-8 unit properties can be financed together and refinanced into blanket or individual DSCR loans.
Larger balances usually need a full valuation of each property.
Yes. Paying off a maturing loan while you stabilize rents or prepare a long-term refinance is a common use.
In as little as 10 days with a complete file. Title review on each parcel is the usual timing factor.
Abatement lowers taxes for a period after construction. Confirm when it ends and test the exit ratio on the full bill.
No. Our investor loans are business-purpose loans on non-owner-occupied property.
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