Buy a new home without selling your current residence and leverage your equity for the down payment.
Our Bridge Loan takes you from a contingent buyer to the equivalent of a cash buyer who can close in as little as 14 days. Don’t get stuck in your current home with no hope to buy a new home in today’s hot housing market. We can help!
With home bridge loan financing from Sammamish Mortgage, you’ll have the following benefits:
Utilize the equity in your home for the down payment on a new home before selling.
Avoid having to put your family in short term housing or live with family while trying to find/close on a new home.
Avoid having your offers rejected by sellers because of a contingency.
Become a cash buyer that can close in 14 days.
Be able to buy a new home without needing to sell your current home first.
Avoid selling your home only to have housing prices skyrocket before you buy a new home.
Not sure exactly what a bridge loan is, how it works, or how Sammamish Mortgage bridge loans are different? Here’s everything you need to know about home bridge loan financing.
What is a Home Bridge Loan?
A home bridge loan allows a move up buyer to purchase a new home without having to sell their current residence until after closing. In real estate terms, this allows you to buy a new home non-contingent on the sale of your current residence.
When you make an offer on a house that you can’t back up without selling your existing home, you usually have to include a contingency clause. This states that you can back out all the way up to closing if your current home doesn’t sell by that date.
What’s Wrong With Contingent Offers?
There’s nothing really “wrong” with contingent offers, from the homebuyer’s point of view. It lets you try and coordinate a home sale and a home purchase so you aren’t stuck in limbo after selling your house, trying to find someplace to live while you purchase a new one. It can also prevent you from closing on a new home and having to manage two mortgages until you can sell your other house.
The real issue is how sellers see your offer in a market as hot as they are right now. When the market is cold and homes are slow to sell with low competitiveness between buyers, a seller might just be glad to have an offer on the table that could come through. However, in a market low on inventory, offers for each available home are usually simultaneous and multiple, and this means sellers look at the ones with the least strings.
An offer with a contingency clause is likely to be passed over quickly, as no seller wants to tie themselves up with a buyer who reserves the right to back out at the last minute based on circumstances out of their control. This means that a contingent offer can kill your chances in a seller’s market.
How Does a Typical Bridge Loan Work?
There are many different types of second mortgages or home equity lines of credit (HELOC) that are marketed as bridge loans. These are tied to your current home equity, and most buyers take them out to access capital for a down payment and closing costs on another home. A HELOC or second mortgage also usually can’t get rid of the necessity for a contingency.
In addition to not being particularly useful for solving the contingent offer problem, interest rates can be staggering for this kind of short term loan. A typical Seattle bridge loan lender will also take both the current and new mortgage into account for qualifying, which can significantly affect your debt-to-income (DTI) ratio and make it hard to qualify for a loan amount big enough to realistically meet your needs.
How Are Sammamish Mortgage Bridge Loans Different?
The Sammamish Mortgage bridge loan is a new short-term first lien on the new home you are purchasing. We are more flexible, and only take the new mortgage into consideration when calculating the debt-to-income ratio. This dramatically increases the reach of our home bridge loan financing as an option for buying a new home while selling your current one.
Once your new purchase closes, Sammamish Mortgage will begin the process of setting up your permanent financing. As soon as your previous property sells, we will finalize a refinance of the bridge loan into a long-term conventional mortgage. This means everything happens seamlessly and you can go from living in your previous home to living in your new one with a minimum of hassle.
Our home bridge loan financing program is currently available for properties located in Seattle as well as the rest of Washington State, Oregon and Idaho. You can reach our expert team of Seattle bridge loan lenders at 425-401-8787.
Realtors: if you have buyers that are currently stuck making contingent offers, give us a call and we can discuss this option in greater detail.
Great communication. Quick to respond. Very helpful, making the process easy.
March 20, 2023
Steve has been a pleasure to work with. His attention to detail, patience, and service is top notch. Also a shout out to Sandra, who was part of the weekend on-call staff. The staff go above and beyond to provide excellent customer service. Although I did not ultimately close with Sammamish, I highly recommend considering Sammamish if you are in the market for a loan.
March 12, 2023
We had the pleasure of working with Senior Loan Officer Trevor with the purchase of our first home. The entire process was smooth, efficient and very informative. Sammamish Mortgage went above and beyond what our expectations were and we feel very fortunate to have selected them to work with. Great family/local business. I cannot say enough good things about them. If you're shopping for home loans, these are your guys!
March 9, 2023
Ryan and Tonya gave me some of the most impressive customer service I've ever experienced. As so many know, the home-buying experience can be a mountain of uncertainty, worry, and stress, and the financing can be extra-special maddening. Here's my story: I received our pre-approval under another company although I explained my entire situation they said everything is PERFECT!!! I as less 15 days of my closing and needed something urgently or ill lose my home under this crazy market situation. Ryan responded to my call for a more competitive quote, worked with me until 6pm and then again starting at 8am, and got the whole loan locked kept assuring me how delightful and trustworthy they are.Then guess what!!! My loan were approved in just 3 days.... Their service didn't stop there. Throughout the process, they communicated clearly, openly, and honestly with me. Ryan and Tonya didn't simply model what an ideal Loan Officer should do; he modeled what anyone in customer service should do. Just stop your research and use Samamish mortgage!
March 8, 2023
It was great. Ryan Shane is an exceptional partner through this process.
March 4, 2023
Great experience from the start. I worked with Nick and he was honest and informative throughout the whole process. When I was ready to lock he let me know rates had actually dropped and gave me an even better quote. Honest business practices, and that goes a long way with me.
March 3, 2023
We loved our experience with Sammamish Mortgage. Ryan Shane went above and beyond to help our house offer go through and get our loan process started! Thank you!
No Obligation and transparency 24/7. Instantly compare live rates and costs from our network of lenders across the country. Real-time accurate rates and closing costs for a variety of loan programs custom to your specific situation.