Bridge Loan: Qualify on a new home without being contingent on sale of your existing
Qualifying for a purchase in the Denver metro area can be a struggle if you are contingent on the sale of your property. And the majority of us don’t have the assets needed to help bridge the gap for a down payment without the sale of our existing property. Most of us can only qualify for our new home purchase from the sale of our existing home. There is an alternative option. This is where a bridge loan can help. That is exactly what they where designed for and until now where hard to find.
Bridge Loan: What is it?
Using a bridge loan it allows you to purchase a new home WITHOUT being contingent on the sale of your existing home!
It “bridges” the gap by allowing you to use your existing equity from your home (that you have just put out on the market), and using that projected equity for the down payment on the new home without the sale of your property, and then qualifying you with a non-contingent contract.
You then will have 6 months to get your property sold while not making a payment on the bridge loan. You only need to pay on your new home loan!
This is a game changer in the Denver metro area. This can help you in getting the home you desire under contract.
There are credit qualifications and specific requirements with DTI & LTV. Please give us a call to learn more and discuss if this is an option for you.