Bridge lenders
Park Place Finance
Park Place Finance is an Austin, Texas private lender for residential real estate investors. Its programmes cover renovation (fix and flip), bridge, ground-up construction and long-term rental financing, and it says it lends across 46 states.
Each borrower works with a dedicated account executive from the initial scenario through closing, and the firm keeps underwriting, servicing and draw support in house. Draw requests are reviewed against completed work and the approved project budget. Renovation loans may be paid off early without a prepayment penalty, and extensions may be available depending on payment history, project status and remaining work. Rate and leverage depend on credit profile, investing experience, property details, project size and loan term.
The firm says it has funded more than $2 billion in loans and advertises closings in five to seven business days for qualified investors. Its rental product is a DSCR loan underwritten primarily on the property's income rather than the borrower's personal income, quoted from 5.75% with leverage up to 85% over a 30-year term; bridge loans run 12 to 24 months. It works with brokers as well as direct borrowers, and with first-time investors. It holds Texas NMLS License #367411 and California NMLS License #1112281.
All borrowers are required to close under an LLC. Published rates and leverage are starting points rather than quotes, so confirm the terms for a specific property and state before relying on them.
Best for
Residential real estate investors financing a flip, a bridge purchase, a ground-up build or a rental hold who can close in an LLC, and brokers placing those scenarios. Not for owner-occupied purchases.
What they do
- Fix-and-flip renovation loans
- Bridge loans for acquisition, refinance and cash-out
- Ground-up construction loans
- DSCR rental property loans
- Draw administration and loan servicing
- Broker-submitted loan scenarios
Details
| Attribute | Value |
|---|---|
| Licenses | Texas NMLS License #367411, California NMLS License #1112281 |
What stands out
- Says it has funded more than $2 billion in loans to real estate investors.
- States that it lends in 46 states.
- Advertises closings in five to seven business days for qualified investors.
- Lists DSCR rental loans from 5.75% with leverage up to 85% on a 30-year term, and bridge loans of 12 to 24 months.
- Licensed under Texas NMLS License #367411 and California NMLS License #1112281.
Common questions
- What is a DSCR loan and how is it calculated?
- DSCR stands for debt service coverage ratio, which compares a rental property's income with its monthly debt obligations. Park Place Finance calculates it by comparing rental income with principal, interest, taxes, insurance and any applicable association dues. A ratio above 1.0 generally indicates that rental income exceeds the property's monthly obligations.
- How does a DSCR loan differ from conventional financing?
- DSCR financing evaluates the rental income of the property rather than relying on the borrower's personal income. The firm describes this as a more flexible qualification route for real estate investors and self-employed borrowers.
- Is there a penalty for paying off a renovation loan early?
- No. The firm states that renovation loans may be paid off early without a prepayment penalty, so a borrower can exit once the project is complete and the payoff is ready. Extensions may also be available, with payment history, project status, remaining work and overall loan performance reviewed when determining eligibility.
- How does the construction draw process work?
- Draw requests are reviewed against completed work and the approved project budget. The borrower submits project progress for review and the servicing team processes eligible draw funds.
- Does the firm work with first-time investors and brokers?
- Yes to both. Park Place Finance says it works with investors across a range of experience levels, including borrowers completing their first investment project, and that broker partnerships are part of its business, with support for reviewing borrower scenarios and identifying financing options.