June 23, 2025

Bridge lending should start to pick up, especially as banks slowly come back to the market. Borrowers will favor bridge loans for their speed, flexible terms and ability to finance transitional properties, especially as long-term financing remains expensive. Anticipated interest rate declines could boost borrower confidence, increasing bridge loan demand as investors capitalize on value-add opportunities. However, bridge lending could continue to see low deal volumes for the next two years due to high interest rates, lender extensions and no forced liquidations. More