Buy to Rent: This refers to a transaction where a borrower acquires a property and holds the asset as a rental property. The borrower may sometimes make improvements to the property before renting it out.
Refinance: This refers to a transaction where a borrower pays off an existing loan with a new loan on a property.
Value Add: This refers to a transaction where a borrower acquires or refinances a property with a plan to create value through renovation, repairs or redevelopment, and then sell the property.
Bridge: A bridge loan is a loan that provides liquidity to a borrower and “bridges the gap” until the next financing is needed.
Investment: This refers to a transaction where the borrower intends to earn a return on the investment, either through rental income, the future resale of the property or both.