You've built a lot into your home. Let it help you buy your next one.
You’ve found the perfect home. It has enough space for your family, it’s in an amazing school district, and it's close to everything. But there’s just one drawback, you need to sell your current home before you can buy it. If you have to sell your current home first, your dream home will be gone. What can you do?
That's where the Bridge Loan, from Arbor Financial can help.
A bridge loan is a mortgage with a term up to 12 months and interest only payments. Our bridge loan is designed to help prospective home buyers that do not have cash savings for a down payment, but want to get into that new home quickly. A bridge loan lets you use the equity built up in your existing home as a down payment on your next home.
Give us a call today at 269.544.3105 and find out what we can do for you!
How does it work?
- Arbor Financial will order an appraisal on your current home to determine the value.
- Equity is then calculated by using the appraised value and subtracting your current mortgage and/or home equity line of credit from the balance.
- You can borrow up to 80% of your homes equity, per the above calculation, to use as a down payment for your next home.
- You then make interest only payments on the bridge loan, keeping your payments lower and manageable while you are sell your other home.
- When your home sells, the bridge loan is paid off.
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When you're ready to apply, here's what to consider: