In the District, a $1M+ bridge typically buys a rowhouse, a two- to four-unit conversion or a small building. Tenant purchase rights, rent stabilization and vacant-property tax rules can matter as much as the price.
In short: LendingStreet offers bridge loans in Washington, DC 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. DC investors use them to buy and renovate rowhouses and small multi-unit buildings, then refinance into DSCR or jumbo DSCR loans, often at lower leverage because prices are high relative to rents.
Rowhouses in Capitol Hill, Logan Circle, Shaw and Dupont Circle often sell for $1.2M to $2.5M. Petworth, Columbia Heights, Bloomingdale, Eckington and Brookland have many rowhouses that have been or can be converted into two to four units under zoning rules.
East of the Anacostia River, in Wards 7 and 8, prices are lower and investors often buy several properties or small buildings together. Near Navy Yard and the Wharf, newer condos and townhomes are common rental purchases.
| Neighborhood group | Typical collateral | Main review item |
|---|---|---|
| Capitol Hill, Logan Circle, Shaw, Dupont | High-value rowhouse rentals | Jumbo DSCR leverage and taxes |
| Petworth, Columbia Heights, Brookland, Eckington | Rowhouse conversions to 2-4 units | Permits, zoning and certificates of occupancy |
| Wards 7 and 8 | Groups of rowhouses, small buildings | Condition and tenant rights |
| Navy Yard, the Wharf | Newer condos and townhomes | Condo fees and leasing rules |
DC large-bridge deals usually fit one of these patterns:
Our residential investor bridge program runs from $150,000 to $5M+, with rates from 7.99%. Files from $1M up are reviewed case by case: the property, your experience with similar deals, liquidity after closing and the exit all carry more weight as the balance grows.
Larger balances usually need a full valuation, so plan for an appraisal or similar report in the timeline. With the valuation ordered early and title moving, closing in as little as 10 days is realistic; terms are short and interest-only.
DC charges both a deed recordation tax and a transfer tax, each at a higher tier for properties above $400,000, and recordation tax also applies to many refinance deeds of trust. On a $1.5M+ purchase these are large numbers, so get them from your title company before you set an offer price.
Residential property tax rates are moderate, but the District taxes vacant and blighted properties at much higher rates. If a building sits empty during renovation, keep permits active and check whether an exemption applies so the higher rate does not hit your carrying costs.
This example is illustrative and not a quote. An investor buys a vacant Petworth rowhouse for $1,050,000 and plans a permitted conversion into three units. The bridge covers part of the purchase and the renovation budget.
Permits are issued, the work is completed, certificates of occupancy are issued for all three units, and the units are leased.
The refinance is held to 65% LTV so rent still covers the payment, and the investor brings a modest amount of cash to retire the bridge. In DC, leverage rather than rent is usually the constraint.
Under the Tenant Opportunity to Purchase Act, tenants in many occupied properties must be offered the chance to buy before a sale, with certain exemptions for single-family homes. This can add weeks to a closing, so plan your contract and bridge timing around it.
Many buildings built before 1976 are covered by rent stabilization, with exemptions for some small owners. Every rental also needs a Basic Business License for rental housing. Short-term rentals are generally limited to a host's primary residence, so investors usually plan on long-term leases.
DC conversions and major renovations need building permits and inspections, and units need certificates of occupancy before they can be leased. Permitting times vary, and the District offers a third-party plan review option that some owners use to speed things up.
Choose a bridge term with extra months for permitting and inspections. A conversion that finishes two months late is common, and it is easier to plan for that from the start than to ask for an extension.
Zoning determines how many units a rowhouse can have. Confirm with an architect or zoning professional that your plan is allowed before you buy, because the refinance depends on rent from every unit you expect to create.
The bridge is the first loan, not the last. The usual takeout is a DSCR refinance that qualifies on the property's rent, or a jumbo DSCR loan once the balance reaches roughly $1.5M or more. Cash-out goes up to 75% LTV and rate-and-term up to 80% on some programs, though larger loans often get less.
If the numbers only work at a ratio below 1.0x, sub-1.0 DSCR programs exist, but it is better to buy with a cushion.
Close speed depends on what we get on the first day. For a $1M+ request, send:
If tenants have purchase rights, the sale must follow the TOPA process first. Build that time into your contract and expected closing date.
Generally no. DC limits short-term rentals to a host's primary residence, so long-term leases are the normal exit.
A Basic Business License for rental housing and, after a conversion, certificates of occupancy for the units.
High prices relative to rents mean a lower LTV is often needed to reach a 1.0x DSCR, especially on larger balances.
Plan on it. Larger balances usually need a full valuation, and getting it scheduled the first week is what keeps a quick close possible.
Often 10 days to a few weeks, depending on valuation scheduling, title and how many properties are in the deal.
The program runs from $150,000 to $5M+, and larger balances are reviewed case by case.
Usually a 30-year DSCR loan that qualifies on rent, or jumbo DSCR for larger balances, with max LTV that varies by program.
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