Owning a dream home is everyone’s dream. But due to a lack of money and a low budget, many people cannot purchase their dream home, and they go for a home that costs them less. With time, money also grows as people get a hike in their salary with their age and experience. Now when they are at a certain stage where they can financially buy their dream home, what should they do with their existing home?
You cannot wait for the best offer because you need a certain amount to close the deal on your dream home. Will you let your dream home go, or will you sell your existing home at a lower offer? This is where Bridge Loans play a crucial role. A bridge loan provides you with equity, allowing you to make a down payment to buy your new home without selling the existing one.
What Is A Bridge Loan?
Bridge Loans are temporary loans to bridge the gap between selling an existing home and purchasing a new one. In the case when the existing property is not sold. Bridge Loans are considered secured loans, and the money from the bridge loan can be used for the down payment.
How To Avail A Bridge Loan?
There are various mortgage groups offering bridge loans in Cincinnati. The eligibility might vary from lender to lender. But before connecting with any lender for a bridge loan, one should be clear about the home they will purchase.
Features Of Bridge Loan
Loan Amount: The loan amount generally depends on the repaying ability of the borrower and also on the cost of the property, including various additional costs. The loan amount can go up to 85% without any mortgage insurance.
Interest Rate: With the right mortgage group, getting equity on your current home is easy. For instance, mortgage groups like McBride Mortgage Group offer interest-only home loans as they remove any contingencies on selling your home.
Maximum Time To Sell The Property: Under the bridge loans, the period in which you have to sell your existing property is a minimum of six months and goes up to 1 year. In short, you get time to get the best deal.
Benefits Of Bridge Loan
With the help of a bridge loan, one can buy their dream home even before selling the existing home.
With interest-only payment, homeowners get complete peace of mind.
As a short-term loan, anyone applying for a bridge loan will pay less interest as the tenure period is less.
If you want to apply for bridge loans, connect with McBride Mortgage Group. Apart from bridge loans, they are also offering hassle-free Cincinnati VA loans.