Buy Your Next Home Before Selling Your Current One—Without the Stress
Found your dream home before your current one has sold? Bridge financing can help you move smoothly by covering the gap between buying and selling. Here’s what you need to know about bridge loans in Alberta.
đź’° What Is Bridge Financing?
A bridge loan is a short-term loan that lets you purchase your new home before your existing property sale closes. It “bridges” the financial gap so you don’t miss out on your next opportunity.
đź“… How Long Does Bridge Financing Last?
Most bridge loans in Alberta are designed to cover 30–90 days. This gives you time to sell your current home without rushing—or accepting an offer below market value.
🏦 Key Requirements
✔️ Firm Sale Agreement: You must have an unconditional sale on your existing property. Lenders won’t approve a bridge loan if your current home isn’t under contract.
✔️ Equity: The equity in your current home helps determine how much you can borrow.
✔️ Creditworthiness: Lenders will still check your financial profile.
đź’¸ Costs to Expect
Bridge loans typically have higher interest rates than standard mortgages. However, paying a few weeks of interest can be worth it to avoid losing your next home—or being forced to settle for a quick, low-priced sale.
⚖️ Pros & Cons of Bridge Financing
Pros:
✔️ Secure your new home without waiting
✔️ Avoid rushed selling decisions
✔️ Maintain flexibility during your move
Cons:
✔️ Higher interest rates
✔️ Must have a firm sale agreement
đź“© Want My Bridge Financing Guide?
DM me “BRIDGE” and I’ll send you my Bridge Financing Guide, covering step-by-step details, lender insights, and tips for moving without stress.
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