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Bridge loan for a home purchase
We offer temporary financing, primarily meant to help finance your next home while you’re still working to sell your current home. If you qualify we can place a bridge loan on either the home you’re buying or the home you’re selling, or both. We can simultaneously put together a refinance into traditional financing. We pre-qualify you for the refinance loan, and finalize it after you sell your current home.
The bridge loan only requires interest be paid, and payments are due monthly until the bridge loan is paid off. It’s a great solution for someone who prefers not to utilize their investments & retirement funds.
A few scenarios where this makes sense are:
You want to purchase prior to selling your current home, but you don’t have a down payment.
You want to offer on a home without a home sale contingency, and can qualify with this product without that.
You want to end up with a far lower mortgage amount or payment, but need to sell your current home to make that happen, despite buying before selling.
Or you don’t want a mortgage at all, and just want the bridge for a short period to get you through a sale.
And lastly, if you want to utilize financing that is as competitive to cash offers as financing can be.
We want the bridge loan funds back as soon as possible, and require these loans be paid off within a year. The bridge loans are available for readily marketable single family homes, townhomes and rowhomes, and are not available for condominiums nor co-ops.
This loan may be a great option for an auction or foreclosure purchase. Or a move up or lateral move buyer. Or a downsizing buyer. Let’s go through some scenarios.
A move up/Lateral Move Buyer
- Current home is worth $600k, they owe $100k.
- Bridge on current home for $300k
- Property being purchased is $1MM. Bridge on purchase $700k.
- Sell current home, clear ~$150k, refinance new home to loan amount of $550k.
A downsizing buyer
- Current home is worth $1.2MM, and there is no mortgage
- Bridge on current home for $200k
- Property being purchased is $1MM. Bridge on purchase $800k
- Sell current home, pay off both loans
Here’s a link to learn more about our bridge loan on your current home
Are you interested? Let’s start with a consultation. I’ll help you figure out if the bridge loan is right for you, make alternative recommendations if something else is better, and we’ll work together to establish your plan.
You’re welcome to set an appointment with me by clicking this link: Calendly
Pre-Qualify Now: https://ajaffe.firsthome.com/startapp ajaffe@firsthome.com
240 – 479 – 7658