Bridge Loans: Buy Your Next Home Before You Sell
Short-term bridge financing to span the gap between buying and selling. Close on your new property before selling your current one.
Overview
In a competitive East Bay market, an offer contingent on selling your current home rarely wins. A bridge loan borrows against the equity in your existing property so you can make a non-contingent offer, close on the new home, move once, and sell the old one without the pressure of a deadline.
Bridge loans provide short-term financing that allows you to purchase a new property before selling your current one. Eliminate the stress of timing your sale and purchase perfectly — close on your new home when you're ready.
Program Features
- Close on new home before selling current one
- Terms from 6-12 months
- Interest-only payments
- Quick approval and closing
- No contingency needed on new purchase
- Residential and investment properties
Ideal For
Homeowners buying before selling, relocating families, and investors needing short-term capital.
How a bridge loan works
The bridge loan is secured by your current home (and sometimes the new one), providing the down payment or the full purchase price for the new property. Terms are short, typically 6–12 months, often with interest-only or deferred payments until your existing home sells. When it sells, the bridge loan is paid off from the proceeds and you keep your permanent financing on the new home.
Who bridge loans are for
Move-up buyers with substantial equity, homeowners relocating within or between our licensed states, and investors who need to close quickly on an acquisition before a refinance or sale funds. Qualification focuses on equity and the exit plan rather than on carrying two full payments indefinitely. Subject to credit approval; programs vary by lender.
Structuring the two loans
We arrange the bridge and the permanent mortgage on the new home together so both close on schedule, and we model the carrying cost for the months you expect to hold both properties. If a HELOC on your current home or a recast on the new loan would be cheaper for your timeline, we will say so.
Bridge Loan FAQs
How long is a bridge loan?
Typically 6 to 12 months, designed to be paid off when your current home sells.
Do I make payments on the bridge loan?
It depends on the program. Many are interest-only, and some defer payments until the existing home sells.
Can I make a non-contingent offer with a bridge loan?
Yes. That is the main reason buyers use one; it removes the sale contingency that weakens offers.
How much equity do I need?
Enough to cover the down payment on the new home plus costs, while staying within the lender's combined loan-to-value limit. We calculate it from your current home's value and mortgage balance.
How fast can a bridge loan close?
Often in two to three weeks, and faster with some lenders when a valuation is already available.
Programs, terms and eligibility vary by lender and are subject to credit approval. This is not a commitment to lend. SiFi Lending is a mortgage broker (Simonich Financial, Inc., NMLS #2563307); we arrange loans, we do not make loans. Equal Housing Opportunity.