A bridge loan is a short-term real estate financing solution that allows an investor to access immediate capital while transitioning between two transactions—typically the purchase of a new property before selling an existing one or completing a long-term refinance. Bridge loans are commonly used when timing or liquidity constraints prevent traditional financing, offering flexibility during acquisitions, renovations, or repositioning strategies. These loans are usually secured by real estate and are designed to be repaid within 6 to 24 months, either through the sale of the property or permanent financing.