Bridge Extension Risk Calculator

Bridge extensions preserve time but cost money.

Bridge balance

Bridge rate %

Extension fee %

Extension months

Rate increase bps during ext

Total extension cost

$1,210,000

Extension fee

$110,000

Rate increase cost

$55,000

How the math works

Fee = balance × %. Rate increase cost = balance × bps × months/12. Plus continuing interest.

$22M × 0.5% = $110k fee. + 50bps × 6/12 = $55k rate increase. + $1.045M base interest. Total $1.21M for 6 months extension.

How to Use

Enter bridge balance.
Enter bridge rate %.
Enter extension fee %.
Enter extension months.
Enter takeout rate %.
Read total extension cost.

Frequently Asked Questions

Typical extension?

Bridge loans commonly have 1-2 six-month extension options. Extension fee: 0.25-1.0% of balance each. Plus rate increase of 25-100 bps. Use when stabilization or takeout slipping. Non-discretionary options when available; lender discretion thereafter.

Cost vs takeout delay?

6-month extension at $20M loan: 0.5% fee $100k + 50bp rate increase × $20M × 0.5yr = $50k. Total $150k for 6 months runway. Alternative: market refinance in distress can cost 2-5% premium — extension wins if possible.

When to refuse extension?

Business plan fundamentally broken (not fixable with more time). Property value declining. Perm takeout impossible. Lender better to foreclose early than carry longer. Borrower better to DPO or deed-in-lieu rather than burn equity on interest.