Eugene's large residential bridge deals often involve new small buildings: fourplexes and townhome groups built under middle housing rules that are finished but not yet leased, with a construction loan coming due.
In short: LendingStreet offers residential investor bridge loans from $1M to $5M+ in Eugene and Springfield, within a program range of $150,000 to $5M+. Rates start from 7.99%, closings can happen in as little as 10 days, and loans are short-term and interest-only on 1 to 8 unit properties. Larger balances usually need a full valuation. Exits are a sale or a refinance into a DSCR, blanket or jumbo DSCR loan.
Eugene prices are higher than in many mid-sized cities, so seven-figure bridge loans cover a wider range of deals here. The most common is a payoff of a maturing construction loan on newly built middle housing, such as two fourplexes or a group of townhomes, while units lease up. Others include packages of student rentals near campus sold by a long-time owner, groups of 5-8 unit buildings, and high-value homes in the South Hills bought for use as executive rentals.
Speed matters when a construction loan matures or a seller wants a quick close, and bridge money fills that gap.
Lower-cost Lane County towns such as Cottage Grove, Junction City and Creswell see fewer large deals; there, seven-figure balances usually mean a package of homes rather than one building.
Bridge loans are short-term and interest-only. Rates start from 7.99%, and pricing on large balances is set case by case. A complete file can close in as little as 10 days.
Larger balances usually need a full valuation. For new buildings, appraisers want final inspections and certificates of occupancy, plus a rent schedule for the units.
This example is illustrative and not a quote. An investor has just finished two fourplexes on infill lots, eight units in all. The construction loan matures before the units are leased. The buildings are valued at $3,000,000, and a bridge loan of $1,950,000, 65% of value, pays off the construction lender. Estimated interest-only payments are about $15,438 a month.
Within a few months all eight units lease at about $2,150, or $17,200 a month. A DSCR refinance of $1,980,000, about 66% of value, pays off the bridge and closing costs.
Estimated principal and interest on the new loan is about $13,507. With $1,700 of taxes on the finished value and $700 of insurance, the payment is about $15,907 and the DSCR is about 1.08x.
| Stage | Amount |
|---|---|
| Value of finished buildings | $3,000,000 |
| Bridge loan at 65% | $1,950,000 |
| Estimated interest-only payment | $15,438 |
| DSCR refinance (about 66%) | $1,980,000 |
| Estimated principal and interest | $13,507 |
| Taxes and insurance | $2,400 |
| Combined rent | $17,200 |
| DSCR | About 1.08x |
Eugene's prices are high relative to rents, so a long-term loan sized to the rent is usually well below the LTV maximum. Plan for that from the start. A bridge loan sized at 65% to 70% of value leaves a realistic path to a DSCR refinance; a bridge stretched higher may need cash at refinance or a sale of some units.
New buildings are exempt from Oregon's annual rent cap for 15 years, which gives the owner more flexibility on rent than an older building in the same neighborhood.
Run the refinance at two or three loan sizes before you commit. If the ratio only works at the lowest size, make sure you have the cash to pay the bridge down at the refinance, or a plan to sell part of the project.
Under Measure 50, new construction is added to the tax roll using a ratio applied to the market value of the new improvements, so a finished building carries a higher bill than the vacant lot. Ask the Lane County assessor how new value is added, and budget on a realistic finished tax figure when testing the refinance.
Owners of several houses and small plexes near campus sometimes sell them together. A large bridge loan can close the package quickly, fund light updates and carry the properties until the next school year's leases are signed. Time the purchase so leasing for fall happens during the bridge term, and expect heavier wear on student units.
Check occupancy and code questions with the city as well. Houses rented by the room to many students can raise code issues, and the refinance lender will want leases that match the legal use.
Lane County does not charge a real estate transfer tax, so closing costs are mostly title, escrow, recording and lender fees, plus appraisals. Oregon closings typically run through escrow companies. On a package, order title on every parcel the day you sign.
For a construction payoff, ask the construction lender for a payoff letter early and confirm any lien releases from contractors, since title will not insure the new loan until those are cleared.
Finished middle-housing buildings exit into DSCR loans once leased, or into a blanket loan if there are five or more properties. A high-value South Hills home leased to an executive can exit into a jumbo DSCR loan. Townhomes on separate lots can also be sold individually. Our bridge-to-DSCR guide covers timing and seasoning.
Our investor loans are business-purpose loans on non-owner-occupied property. Send the property details, construction payoff or price, status of permits and certificates of occupancy, expected rents and your exit. LendingStreet will size the bridge and test the refinance. Call (877) 298-1001 or use the form below. See also our Oregon large bridge page.
Yes, once the units are finished. The bridge can carry the property through lease-up before a DSCR refinance.
Rates start from 7.99%. Pricing on large balances is set case by case.
Larger balances usually need a full valuation, and new construction needs final inspections and certificates of occupancy.
Eugene rents support moderate long-term leverage, so sizing the bridge near that level keeps the refinance realistic.
Units less than 15 years old are exempt from the annual cap.
Under Measure 50, new improvements are added using a ratio applied to their market value. Ask the assessor for an estimate.
Yes, if the lots are divided. Partial releases on the bridge loan let you sell units and refinance the remainder.
No. Closing costs are mostly title, escrow, recording and lender fees.
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