If your family is growing and your home isn't seeming suitable anymore, it may be time to find something that’s going to work better for your needs. If you have no intention of owning two properties, then selling your current home and moving into a new property will likely be your best decision.

Most people in this situation want to take possession of the new purchase before moving out of their existing home. This makes moving into your new home more manageable and allows you time to complete certain tasks within your new home such as painting walls or install flooring before the moving truck arrives and boxes and furniture take up the much-needed floor space.

The problem some people face is that they need the money from the sale of your existing home in order to provide the down payment for their purchase. This is where we utilize bridge financing.

It's likely that you are currently in a competitive and lucrative housing market, and you are looking to purchase a property. Most buyers will want to put forth their very best offer with the largest deposit they can manage in order to secure the desired property. In some circumstances you won’t have instant access to money within your bank account but have equity in your home, a deposit loan is a good way to be able to access funds and give you bargaining power when attempting to purchase a new home.

In order to get approved for bridge financing and/or a deposit loan, you must prove that you have a solid sale on your existing home. If the sale isn’t finale on your home, you won’t get approved for bridge financing or a deposit loan because there is no way to guarantee how much equity you have available.

Having a sale with subjects removed will be your only way to secure bridge financing or a deposit loan.

If you have any more questions regarding these options discussed in this article please feel free to contact us and we would be happy to get you to a place of clarity and confidence. We look forward to hearing from you even if it's just to answer a few lingering questions.