Construction financing is very popular amoung private lenders because construction projects are short term in nature, providing them with two or more opportunities per year to issue a construction mortgage loan with effectively the same funds.

While a construction loan is not exactly a bridge loan in that there can be an indefinite ending point, it is very short term in nature and there is a high probability of when the end point will take place when the construction funds will be paid back.

For larger projects the bridge period will be larger requiring the funds to commited to the project for a longer period of time.