In Maine, a $1M+ bridge usually funds a Portland multi-unit building, a coastal home in York County or the Midcoast, or a group of rentals in Lewiston-Auburn, Biddeford or Bangor. Old buildings and short building seasons shape the plan.
In short: LendingStreet makes Maine bridge loans 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. Maine investors use them for Portland-area multi-unit buildings, coastal homes and rental packages, then refinance into DSCR or jumbo DSCR loans.
Portland has the state's strongest rental demand. Munjoy Hill, the West End, the East End, Parkside and Deering have older multi-unit buildings, many with three to six units. South Portland, Westbrook, Falmouth, Cape Elizabeth and Scarborough have suburban rentals and higher-value homes.
On the southern coast, Kennebunkport, Ogunquit, York and Wells have high-value homes often rented in summer. The Midcoast towns of Camden and Rockland and Bar Harbor near Acadia National Park draw vacation buyers. Biddeford, Saco, Lewiston, Auburn and Bangor have lower prices and older multi-family stock.
In the inland and northern parts of the state, prices are low enough that a large bridge would usually mean many properties at once.
Many Portland buildings are wood-frame houses converted into apartments decades ago, so confirm the legal unit count with the city before you buy.
| Area | What large balances usually finance | Local item to check |
|---|---|---|
| Portland | Multi-unit buildings, 3-8 units | Rent stabilization and STR limits |
| South Portland, Falmouth, Cape Elizabeth | Higher-value homes | Local STR rules |
| Kennebunkport, Ogunquit, York, Wells | Coastal homes used as summer rentals | Seasonality and flood zone |
| Bar Harbor, Camden, Rockland | Vacation homes | Town rental caps or permits |
| Lewiston, Auburn, Biddeford, Bangor | Groups of multi-family homes | Old systems and lead paint |
Maine investors use large bridges for:
Bridge financing here is short-term and interest-only, from $150,000 up to $5M+ with rates from 7.99%. A $1M+ request gets case-by-case review: we want to see the property, a realistic exit and enough cash left after closing to carry the loan.
Larger balances usually need a full valuation rather than a desktop estimate. Getting it scheduled early is what keeps a close in as little as 10 days on the table.
Maine charges a real estate transfer tax, split between buyer and seller, on each deed. On a $1.5M purchase your share is a noticeable closing cost.
Property tax rates are set by each town and vary widely, and towns revalue on their own schedules. Coastal towns often have lower rates but higher values. The homestead exemption only applies to primary residences. Use the town assessor's current figure for each property.
Heating costs also matter. Many older buildings use oil heat, and if the owner pays for it, it can be one of the largest operating costs.
This example is illustrative and not a quote. An investor buys a six-unit building on Munjoy Hill for $1,550,000. Two units are vacant and need updates, and the boiler is near the end of its life.
The boiler is replaced, the two units are renovated and leased, and the other leases continue within local rent rules. The refinance at 65% LTV comes to $1,072,000, so the investor brings about $90,500 to retire the $1,162,500 bridge balance.
The refinance is held to 65% because 5-8 unit properties and larger balances can get lower leverage. Rents on existing units are limited by the city ordinance, so only the renovated units reset to market.
| Line item | Amount |
|---|---|
| Bridge loan | $1,162,500 |
| Estimated monthly interest-only payment | $10,172 |
| Hold period | 8 months |
| Value at refinance | $1,650,000 |
| DSCR loan at 65% LTV | $1,072,000 |
| Estimated principal and interest | $7,404 |
| Taxes | $1,500 |
| Insurance | $450 |
| Total monthly payment | $9,354 |
| Monthly rent | $11,400 |
| DSCR | 1.22x |
Portland has a rent stabilization ordinance that limits annual rent increases on many units, with some exemptions, and requires registration. It affects how quickly you can raise rents after buying a building.
Portland also limits short-term rentals, especially non-owner-occupied units, and requires registration. Bar Harbor and other towns have caps or permits. Check the rules before you count on short-term income.
South Portland, Kennebunkport and several other towns also register or limit short-term rentals, and rules have changed often in the last few years. A home that rented freely under one owner may need a new registration under yours.
Much of Maine's multi-family stock is more than 100 years old. Expect older wiring, oil boilers, stone or brick foundations and lead paint in pre-1978 units. Maine has lead safety rules for rentals, so budget for lead-safe work practices.
Exterior work such as roofs, siding and painting is easiest from late spring to fall. Interior work can continue in winter, but plan the bridge term around the season if exterior repairs are needed.
Some rural and coastal properties use wells and septic systems. A septic inspection is worth ordering for any property with a system.
There are two common exits: sell the property, or refinance into a long-term DSCR loan that qualifies on rent rather than personal income. For balances around $1.5M and up, that refinance is a jumbo DSCR loan, and leverage on the larger balance varies by program.
Seasoning before a cash-out refinance also varies by program, so ask about it up front if you plan to pull equity out after the bridge.
The fastest large files arrive complete. Have these ready when you request a quote:
Yes. Limits on rent increases affect the rent used for DSCR, so check which units are covered.
On some programs the refinance can use short-term rental income averaged over the year, if town rules allow it.
It is split between buyer and seller. Your title company can confirm the amount.
Yes. Condition, heating systems and lead safety are part of the review.
In most cases. A seven-figure balance usually needs an appraisal or similar report, so we order it as soon as terms are accepted.
Yes. Closings can happen in as little as 10 days if the file is complete and the valuation is ordered right away.
The program runs to $5M+ on 1-8 unit investment property, with larger requests 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.
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.