Large bridge loans in Lexington tend to follow two paths. One is the student and workforce rental market around UK, where portfolios of houses and small buildings change hands. The other is the city's established estate neighborhoods, such as Chevy Chase, Ashland Park and Beaumont, where a single home can pass $1M.
In short: LendingStreet provides residential investor bridge loans from $1M to $5M+ in Lexington and the surrounding Bluegrass, within a bridge program that runs from $150,000 to $5M+ with rates from 7.99% and closings in as little as 10 days. Loans are short-term and interest-only, larger balances usually need a full valuation, and exits include a blanket DSCR, DSCR or jumbo DSCR refinance, or a sale.
Most seven-figure bridge requests here involve several properties: a portfolio of student houses near UK, a group of duplexes and fourplexes along the major corridors, or a landlord's holdings that include homes in Georgetown and Nicholasville. Single-home requests come from the higher-priced neighborhoods, including Chevy Chase, Ashland Park, Hartland, Beaumont and Palomar.
Horse farms and agricultural properties are a different kind of real estate. Our residential bridge program covers 1 to 8 unit investment properties, not working farms.
| Deal type | Typical size | Likely exit |
|---|---|---|
| Portfolio of 8-15 student houses near UK | $1.5M to $4M | Blanket DSCR once leased for the school year |
| Group of duplexes and corridor fourplexes | $1M to $3M | DSCR or blanket DSCR |
| Estate home in Chevy Chase or Ashland Park | $1M to $2.5M | Sale after renovation, or jumbo DSCR |
| Payoff of a maturing loan on a renovation | $1M to $2M | DSCR or sale once complete |
Student portfolios trade on the academic calendar. A buyer who can close in spring and have homes ready and leased for August has a real edge, and a bridge loan, with rates from 7.99% and interest-only payments, makes that timing possible. Older portfolios also tend to have below-market rents and deferred repairs that a permanent loan sized on today's rent would not cover.
Bridge loans also pay off maturing debt, such as a short-term loan on a renovation that ran past its deadline.
Estates are another source of large deals in Lexington. Families settling an estate that holds several rentals, or a large home in an established neighborhood, often want one buyer who can close on a set date. A bridge loan lets you meet that date and sort out the long-term plan after closing.
This example is illustrative and not a quote. An investor buys nine student houses near campus from a retiring landlord for $2,385,000. A bridge loan at 75% of price is $1,788,750, with estimated interest-only payments of about $15,652 a month during summer repairs.
By August, all nine are leased within occupancy limits at an average of $2,100, or $18,900 a month, and the homes value at $2,600,000. A blanket DSCR refinance at 70% of value is $1,820,000, enough to repay the bridge. Estimated principal and interest is about $12,726; with taxes of $2,610 and insurance of $1,080, the payment is about $16,416 and portfolio DSCR is about 1.15x.
| Item | Bridge stage | Blanket DSCR exit |
|---|---|---|
| Loan amount | $1,788,750 | $1,820,000 |
| Monthly debt payment | $15,652 interest-only | $12,726 principal and interest |
| Taxes and insurance | Paid from reserves | $3,690 |
| Monthly rent | Summer turnover | $18,900 |
| DSCR | Not tested | About 1.15x |
Lexington's zoning limits how many unrelated adults can share a home in many residential zones. The exit lender will underwrite rent that fits legal occupancy, not the seller's current tenant count. Confirm each property's allowed occupancy before you price the package, because it decides the exit loan amount.
Larger balances usually need a full valuation, and a package may need values on each property. Estate homes with unusual lots or few recent comparable sales take more work. We also review your experience, liquidity, the repair budget and the leasing plan.
Kentucky's deed transfer tax, $0.50 per $500 of value, is modest and customarily paid by the seller, which helps on a large package. Property is assessed at fair cash value by the Fayette County PVA, and investor bills usually track the seller's, adjusted for reassessment after a sale.
If a short-term loan on a Lexington package or renovation is coming due before the property is ready for permanent financing, a bridge can pay it off. Send the payoff, maturity date, status and remaining work, and we will size the bridge around a realistic exit. See /bridge-to-dscr-loan-guide.html for how the handoff to a DSCR loan works.
Student and workforce packages usually exit into a blanket DSCR loan. Duplexes and fourplexes can exit into individual DSCR loans. An estate home may exit by sale after renovation, or into a jumbo DSCR loan if long-term rent supports the payment at moderate leverage. If you plan to sell some properties, tell us up front so the bridge release terms fit.
Inside the urban service area, well-located rentals are hard to replace, which is why many Lexington investors refinance and hold rather than sell. Test the exit at full taxes and realistic rents before you close, because the refinance lender will.
Our investor loans are business-purpose loans on non-owner-occupied property. Send the property list, price, repair budget, timeline and exit plan through the form below, or call (877) 298-1001. We will size the bridge, test the exit and show options next to our Kentucky large bridge programs.
Our residential investor bridge program runs from $150,000 to $5M+, and larger balances are reviewed case by case based on the properties, your experience and the exit.
Rates start from 7.99%. Pricing on large balances depends on leverage, your experience with similar projects, property condition and the strength of the exit plan. Larger packages are priced case by case.
Larger balances usually need a full valuation, and packages may need values on each property. Estate homes with few close comparable sales can take longer to appraise, so build that time into the contract.
Yes, if each property is 1 to 8 units. The exit lender will use rent that fits legal occupancy under Lexington's zoning, not the seller's current tenant count, so confirm limits for each house before you set your price.
No. Our residential bridge program covers 1 to 8 unit investment properties, not working farms or agricultural land.
In as little as 10 days once the file is complete, though packages with many properties often take longer because each needs title, insurance and valuation work. For a student portfolio, aim to close in spring so repairs finish before August move-in.
Yes. Bridge loans are short-term and interest-only. Keep reserves for taxes and insurance during repairs and leasing.
No. Our investor loans are business-purpose loans on non-owner-occupied property.
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