BRIDGE HOME LOANS

Ready to sell your house but still looking for your new home? We can help!

With a Bridge Loan, you can buy a new home while you still live in and sell your current property. The equity you’ve built helps fund your next home purchase.

What is a Bridge Loan?

The clue is in the name — it’s temporary financing that bridges the time between you buying your new home and selling your current home. And since you can take up to six months to repay the loan, you have time to shop, offer, and move with peace of mind.

Perfect for:

• Fast relocations for work or school
• Competitive real estate markets
• Reducing the stress of selling and buying

How do Bridge Loans work?

1. You work with Planet to access the equity in your home.
2. Once your home is listed for sale, you use the Bridge Loan funds as a down payment to purchase a new home.
3. You pay off the Bridge Loan within six months and enjoy your new home.

Bridge Loans are available to people with surprisingly modest credit scores. Talk to one of our mortgage professionals today and see if a Bridge Loan is right for you: 888-966-9044.

Bridge Loans FAQ

Who can use a Bridge Loan?

Planet Home Lending’s Bridge Loans are used to pull equity from your main (primary) home. If you want to refinance home equity from a second home or an investment property, we can discuss other home loans to achieve that goal.

How is a Bridge Loan different than a regular home loan?

A Bridge Loan is a second mortgage that draws the equity from your main (primary) home. A regular home loan is a first mortgage. You can typically borrow up to 80% of your home equity with a Bridge Loan.

How much can I borrow with a Bridge Loan?

You can usually borrow up to $400,000 or as little as $75,000, depending on the equity available in your primary home. You can typically borrow up to 80% of your home’s equity with a Bridge Loan.

How long do I have to pay back a Bridge Loan?

Your Bridge Loan will be due in full in six months.

If I get a Bridge Loan, do I have to use Planet Home Lending to buy my new home?

Yes, Planet must finance the Bridge Loan and the home purchase loan.

Can I combine a Bridge Loan with any home purchase loan?

Planet’s Bridge Loans must be used with a purchase home loan guaranteed by Fannie Mae or Freddie Mac.

What are the pros of a Bridge Loan?

With a Bridge Loan, you can purchase your next home and schedule settlement while your existing home is listed for sale. No worries that you’ll sell your current home and have to immediately choose a new home.

In competitive real estate markets, when you have a Bridge Loan, you can choose to make an offer that’s not contingent on the sale of your current home. Home sellers typically prefer a non-contingent offer versus an offer contingent on the sale of another home.

What are the cons of a Bridge Loan?

You have to repay the Bridge Loan in six months whether or not you’ve sold your existing home. Your real estate professional can estimate how long it will take to sell and close on your existing home given your listing price.

While the interest rate on a Bridge Loan is higher than the interest rate on a traditional mortgage, you’re only using it for six months, which limits the overall amount of interest you pay.

Get in touch with one of our mortgage professionals today: 888-966-9044. See why our motto is, “We’ll get you home.”