On Oahu, $1M is roughly what a typical single-family house costs, so large bridge loans here cover everything from one renovation in Kaimuki to a Kahala or Kailua beach home to a package of walk-up apartment buildings in town.
In short: LendingStreet makes residential investor bridge loans from $1M to $5M+ on Honolulu 1 to 8 unit properties and packages, with rates from 7.99% and closings in as little as 10 days. The loans are short-term and interest-only, and they are usually repaid by a sale or by a refinance into a DSCR or jumbo DSCR loan. Larger balances usually need a full valuation.
The most common is the single high-value home bought for renovation and resale: an older house in Kahala, Diamond Head, Manoa, Kailua or Hawaii Kai, where the land carries most of the value and a full remodel can add a lot. Many of these exceed $2M and some exceed $5M.
The second is the walk-up package: two or three small apartment buildings in Makiki or McCully-Moiliili, each with 2 to 8 units, sold together by a long-time family owner. The third is the payoff: an investor with a maturing loan on a renovation or a newly built home with an ohana who needs time to finish, lease or sell.
Some investors also use bridge loans for homes in Ewa, Kapolei and Mililani that add an ohana unit or ADU. The added unit can lift both value and rent, and the bridge loan covers the period until the work is permitted and finished and the property can move to a DSCR loan.
Older Oahu homes and walk-ups often need major work, from termite damage and plumbing to electrical and roofing, before they can rent or sell at full value. Sellers in a competitive market favor buyers who can close quickly. A bridge loan buys time for permits and renovation, and Honolulu permitting can take a while, so build that into the term.
Speed in the purchase matters too. In neighborhoods such as Kahala, Manoa and Kailua, well-priced properties can draw several offers, and a buyer who can close in as little as 10 days on some files may win without being the highest bidder.
This example is illustrative and not a quote. An investor buys three walk-up buildings with 11 units in Makiki for $4,200,000 and budgets $300,000 for renovation. The bridge loan is $2,700,000, 60% of total cost, with estimated interest-only payments of about $23,625 a month.
After the work, the buildings appraise at $4,800,000 and the units rent for $2,100 on average, $23,100 a month. A DSCR or blanket refinance at 60% of value is $2,880,000, enough to retire the bridge. Estimated principal and interest is about $19,647; with taxes of $1,500 and insurance of $1,050, the payment is about $22,197 and the DSCR is about 1.04x. On Oahu, conservative leverage at both ends is what makes this work.
| Item | Bridge phase | Refinance exit |
|---|---|---|
| Loan amount | $2,700,000 | $2,880,000 |
| Basis | 60% of $4,500,000 cost | 60% of $4,800,000 value |
| Monthly debt payment | About $23,625 interest-only | About $19,647 principal and interest |
| Taxes and insurance | Paid by investor | $2,550 |
| Monthly rent | Renovating and re-leasing | $23,100 |
| DSCR | Not used | 1.04x |
Be realistic about renting a luxury Oahu home. A renovated $3M house in Kahala or Kailua might lease for a strong monthly rent, but at most leverage levels that rent will not cover a jumbo DSCR payment plus taxes and insurance. Most of these projects repay the bridge loan from the sale. That is a perfectly good plan, as long as the budget includes the carrying costs through a realistic selling period.
Short-term rental income is generally not an option for these homes outside resort zones, since rentals under 30 days are restricted on most of Oahu.
Larger balances usually need a full valuation. Appraisers on Oahu weigh land value, view, lot size and tenure. Leasehold properties need review of the lease term and terms. For renovations, share plans and confirm with the Department of Planning and Permitting what permits your scope needs; permit timing is one of the main risks to the bridge term.
Hawaii closings run through escrow companies, and title work covers each parcel in a package.
Hawaii's conveyance tax rises with the sale price, and a higher rate schedule applies to residential purchases where the buyer is not eligible for the homeowner exemption, which includes investors. It is commonly paid by the seller, but it affects pricing and your eventual sale. During the bridge term, budget for property tax in the non-owner-occupied class, insurance including hurricane coverage, utilities and association dues where they apply.
Walk-up packages can refinance into DSCR loans on each building or one blanket loan once units are renovated and leased, usually at conservative leverage. A single high-value rental can fit a jumbo DSCR program if the rent clears the minimum. Renovation-and-sale projects repay from the sale. Whatever the plan, test the exit with real rents, taxes and insurance before you close.
Leave enough term for Oahu realities: permit reviews, contractor schedules, materials shipped from the mainland and a selling period that can lengthen when rates rise. Extending a bridge loan because the exit was not ready costs time and money.
Send the property details, price, tenure, renovation budget and exit plan through the form below, or call (877) 298-1001. We will size the bridge loan and show how the exit numbers look at realistic Oahu leverage.
For a package, include the rent roll for each building and current leases. For a renovation, include plans, contractor bids and the permit status. With those, we can show the interest-only payment during the work and whether the sale or refinance will retire the loan with room to spare.
Yes. Large residential investor bridge loans run from $1M to $5M+ on 1 to 8 unit properties and packages.
Rates start from 7.99%. Larger balances are priced case by case.
Often not at full leverage. Rents rarely cover a large jumbo DSCR payment, so many high-value projects exit by sale.
Larger balances usually need a full valuation.
Possibly, depending on the remaining lease term and terms.
In as little as 10 days on some files, though escrow, title and valuation timing vary.
Only for properties that can legally rent under 30 days, mainly in resort zones.
Yes. Bridge loans are short-term and interest-only, so the monthly payment covers interest while the principal is repaid at the sale or refinance.
2-3 competing quotes from 30+ capital sources. No credit pull. No commitment.
By clicking, you provide express written consent to be contacted by LendingStreet (NMLS #1734316) via SMS, phone, or email, possibly using automated technology, regarding your loan inquiry. Reply STOP to opt out. Consent is not required to obtain services. See our Privacy Policy and Terms.