In New York City, $1M is where many residential investment deals start, not where they end. Brownstones, small walk-ups and estate sales often need money that closes faster than a long-term loan can.
In short: LendingStreet provides residential investor bridge loans from $1M to $5M+ in New York City, within a program range of $150,000 to $5M+, with rates from 7.99% and closings in as little as 10 days. Loans are short-term and interest-only on 1 to 8 unit properties, and larger balances usually need a full valuation and are reviewed case by case. Exits include a sale, a DSCR refinance or a jumbo DSCR refinance.
Brownstones and row houses in Bed-Stuy, Crown Heights, Clinton Hill, Park Slope, Harlem and Hamilton Heights regularly trade between $1.5M and $5M, often as two- to four-unit buildings. Walk-ups with five to eight units in Bushwick, Ridgewood, Sunset Park, Washington Heights and the Bronx fall in the same range. Packages of two- and three-family houses in Queens and the Bronx also cross $1M quickly.
Many of these come from estates, long-time owners or investors needing to sell before a deadline, and they often need renovation before they can carry a long-term loan.
| Deal type | Typical areas | Common exit |
|---|---|---|
| Brownstone or row house, 2-4 units | Bed-Stuy, Crown Heights, Harlem, Park Slope | Jumbo DSCR or sale |
| Walk-up, 5-8 units | Bushwick, Ridgewood, Sunset Park, Washington Heights | DSCR refinance at program leverage |
| Package of two- and three-families | Queens, Bronx, Staten Island | Blanket DSCR refinance |
| Estate or foreclosure purchase | Citywide | Renovate, then refinance or sell |
| Payoff of a maturing loan | Citywide | Refinance after lease-up |
Estate executors, sellers facing a 1031 deadline and auction terms often reward the buyer who can close in days. A bridge loan can close in as little as 10 days with a complete file, though title work, co-op or condo approvals (where applicable) and violations searches can take longer in the city.
Bridge financing also carries a building through renovation and lease-up, when vacant units or below-market rents keep it from qualifying for a long-term loan.
A large bridge loan can also replace a loan that is coming due. Investors who bought with short-term financing and are still finishing a renovation, or who need to buy out a partner, sometimes use a new bridge to take out the old one and finish the plan before moving to long-term debt.
This example is illustrative and not a quote. An investor buys a three-unit brownstone in Bed-Stuy from an estate for $2,400,000. It needs renovation. The bridge loan at 65% of the price is $1,560,000, with an estimated interest-only payment of about $13,650 a month. The renovation is paid from the investor's own funds.
After renovation, the garden unit rents for $3,800, the parlor duplex for $6,500 and the top floor for $4,200, a combined $14,500. The building appraises at $2,900,000. A jumbo DSCR refinance at 60% of value is $1,740,000, with estimated principal and interest of about $12,166, Class 1 taxes of $900 and insurance of $450.
The payment of about $13,516 gives DSCR of about 1.07x, and the refinance pays off the bridge loan with some of the renovation cost returned.
| Item | Bridge stage | Jumbo DSCR exit |
|---|---|---|
| Value basis | $2,400,000 purchase | $2,900,000 appraised |
| Loan amount | $1,560,000 | $1,740,000 |
| Payment type | Interest-only | Principal, interest, taxes, insurance |
| Estimated monthly payment | $13,650 | $13,516 |
| Monthly rent | Under renovation | $14,500 |
| DSCR | Not used | About 1.07x |
Buyers of one- to three-family homes at $1M or more pay the state mansion tax, which starts at 1% and rises in brackets above $2M in the city. Sellers usually pay the city and state transfer taxes. New mortgage debt carries the mortgage recording tax, roughly 2% of the loan on one- to three-family homes and higher on other types, and a bridge followed by a refinance can mean paying it twice unless the refinance uses a CEMA.
Ask whether the refinance lender can take an assignment of the bridge mortgage. Planning that at the start can save a meaningful amount. Include these taxes in your total project cost, alongside renovation, carrying costs and the interest-only payments during the bridge term.
Larger balances usually need a full valuation. Appraisers rely on recent sales of similar buildings on nearby blocks, adjusted for condition and legal unit count. Interior access, the C of O and a renovation scope help support the value.
Case-by-case review also looks at your experience with renovations in the city, the contractor, the permit plan and the time needed to reach the exit. Renovations in the city often take longer than planned because of permits, contractor schedules and inspections, so a realistic timeline with some cushion is better than an aggressive one. If the plan depends on a single long-lead item, such as a new boiler or a facade repair, say so in the request.
One- to four-unit buildings are generally not rent stabilized, but walk-ups with six or more units built before 1974 often are, and their rents are regulated. Good cause eviction protections added in 2024 also affect renewals, with certain exemptions. Build the exit on rents you can legally charge, and have counsel review each building. For a brownstone that will be rented as two or three free-market units, the main question is whether rents after renovation will support the long-term payment; for a regulated walk-up, the question is what the legal rents allow.
Renovations in the city usually need Department of Buildings permits, and work in landmark districts needs Landmarks Preservation Commission approval. Open violations can delay closings and refinances. Order a violations search early and budget time for sign-offs before the refinance appraisal.
A complete package gets a faster answer.
Our investor loans are business-purpose loans on non-owner-occupied property. Use the form below or call (877) 298-1001 with the deal summary. See also our New York large bridge page and jumbo DSCR loans in New York City.
The program runs from $150,000 to $5M+ on 1 to 8 unit property, with balances above $1M reviewed case by case.
Rates start from 7.99%. Pricing on large balances depends on leverage, the building and the exit.
Larger balances usually need a full valuation.
Possibly, unless the refinance uses a CEMA to carry over the bridge mortgage. Plan this at the start.
The mansion tax applies to one- to three-family homes, condos and co-ops at $1M or more. Confirm treatment of your building with your attorney.
Yes, buildings up to eight units are residential for this program. Check rent stabilization status.
As little as 10 days with a complete file, though city title and violations work can take longer.
Yes. Bridge loans are short-term and interest-only.
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