Compare Short Term Real Estate Loans in San Francisco

The San Francisco real estate market is a high-stakes environment where time-sensitive deals can make or break an investment. Traditional lenders often can’t keep pace with the market’s demands, leaving investors at a disadvantage. This is why having access to fast, flexible financing for real estate investors is non-negotiable.

This guide breaks down the essential types of investment property financing available in the city. From securing a quick bridge loan for an urgent acquisition to using a DSCR loan to build a long-term rental portfolio, we'll help you find the right solution to win more deals and grow your business.

Fix and Flip Loans

Fix-and-flip loans provide short-term financing for acquiring and renovating properties intended for resale. Perfect for investors looking to add value through strategic improvements.

Best for:

• Properties with below-market pricing requiring renovation
• Homes in sought-after areas with solid resale prospects
• Renovation schedules spanning 2 to 6 months
• Properties with condition issues rejected by traditional lenders

Prime San Francisco Neighborhoods (prices as of July 2025):

• Pacific Heights/Presidio Heights: $1,100/sq ft | 3-5 months renovation | Historic preservation requirements
• Bernal Heights: $1,020/sq ft | 2-4 months renovation | Faster residential permits
• Outer Sunset/Richmond: Market rate pricing | 3-4 months renovation | Coastal regulations

Loan Specifications:

• Duration: 6–18 months
• Interest rates: Starting around 9%
• Funding: $75,000 to $2.5 million
• Leverage: Up to 70% ARV / 100% LTC
• Payments: No monthly obligations
• Disbursement: Progressive funding as work advances

Bridge Loans

Bridge loans help investors secure properties rapidly while awaiting long-term financing solutions. Essential for San Francisco's competitive market where cash-equivalent offers win.

Best for:

• Estate sales requiring immediate funding
• Properties with title complications or rehabilitation restrictions
• Competitive bidding situations
• Timing gaps between selling existing property and new acquisition

San Francisco Market Advantages:

Bridge loans enable quick action on properties with historic preservation requirements, seismic retrofit needs, or coastal zone restrictions that may complicate traditional financing.

Loan Specifications:

• Duration: 6–24 months
• Funding: $75,000 to $2.5 million
• Leverage: Up to 80% LTV
• Closing: 7–14 days
• Documentation: Minimal requirements
• Payments: Interest-only or deferred options

DSCR Loans

Debt Service Coverage Ratio (DSCR) loans qualify based on rental income instead of personal income or W-2s. Perfect for rental property investors building long-term portfolios.

Best for:

• Rental property investors expanding portfolios
• Self-employed investors
• Quick closings without income verification

Loan Specifications:

• Duration: 30-year fixed
• Funding: $75,000 to $2.5 million
• Leverage: Up to 80% LTV
• Qualification: Property rental income (no personal income docs)
• Minimum DSCR: Typically 1.1 (better terms at 1.25+)

New Construction Loans

New construction loans provide staged funding for building properties from the ground up. Perfect for vacant lots, new development, or teardown projects.

Best for:

• Purchasing vacant or underutilized lots
• Constructing new single-family or 2–4 unit buildings
• Projects with completed plans and licensed contractors
• Staged construction funding requirements

SF Construction Timelines:

• SOMA/Financial District: 4-6 months (city permits/regulations)
• Residential areas: 3-4 months (Outer Sunset/Richmond)
• Historic areas: Additional review time (Pacific Heights preservation requirements)

Loan Specifications:

• Duration: 6–18 months
• Funding: $75,000 to $2.5 million
• Leverage: Up to 70% ARV / 100% LTC
• Payments: Deferred until completion
• Disbursement: Released upon milestone inspections

Compare Your Options

Choose the Right Loan for Your Strategy

3 Key Questions:

What's your closing timeline?

Bridge and fix-and-flip loans close in 7–14 days. DSCR and new construction loans typically require 2–3 weeks for appraisals and permits.

Planning to hold or flip?

Fix-and-flip loans provide renovation capital for resale projects. DSCR loans offer long-term financing for rental properties.

Need long-term or short-term capital?

Bridge, construction, and fix-and-flip loans are designed for quick transactions. DSCR loans provide longer-term rental property financing.

Why San Francisco Investors Choose Groundfloor Lending

Our competitive advantages:

• Local expertise in SOMA, Pacific Heights, Mission District, and Mission Bay
• No monthly payments during renovation or construction
• Fast funding with capital released upon inspection
• Full range from $75,000 to $2.5 million
• Market knowledge of SF permitting and renovation requirements

Our terms:

• Starting rates: 9% annually
• Loan terms: 6-24 months
• Credit minimum: 640 score
• Standard closing: ~2 weeks

Frequently Asked Questions About Short Term Loans in San Francisco

How do fix and flip loans differ from bridge loans?

Fix-and-flip loans incorporate renovation financing with extended timelines. Bridge loans prioritize speed and acquisition but may exclude renovation funding.

Can I qualify for a DSCR loan without personal income documentation?

Yes. DSCR loans rely on property rental income. Most borrowers avoid providing W-2s, pay stubs, or tax returns.

How quickly can I close on a San Francisco short term loan?

Bridge and fix-and-flip loans can close within 7–14 days. DSCR and new construction loans typically require 2–3 weeks due to appraisal and permitting requirements.

Are prepayment penalties included?

We charge a minimum of three months' interest if you repay the loan within the first 90 days. After that, there are no prepayment penalties.

Do these loans cover multi-unit properties?

Yes. We finance 2–4 unit investment properties. Larger buildings may need commercial financing.

Do you support first-time investors?

Absolutely. Our experienced team assists both new and seasoned investors with flexible underwriting and a minimum 640 credit score requirement.

What are current interest rates in San Francisco?

Interest rates generally fall between 9% and 14% in 2025. Most lenders charge between 2% and 4% in origination fees.

What property types do San Francisco short term lenders finance?

Short-term lenders in San Francisco typically finance non-owner-occupied single-family homes, condos, and rental properties. Groundfloor Lending offers fix-and-flip loans, new construction financing, DSCR loans, and bridge loans to meet various investor needs.

Get Started with San Francisco Short Term Financing

San Francisco's dynamic property market favors investors who combine smart strategy with reliable funding sources. With 64% of homes selling above asking price and properties receiving four offers on average, timing determines everything in this market.

Whether you're transforming a Victorian in Pacific Heights, expanding your rental property financing in Mission Bay, or starting new construction in SOMA, our short-term real estate loans help you move quickly and grow your real estate investing business.

Looking for more insights? Read another San Francisco real estate investment blog or visit our San Francisco homepage to learn more.