By Nancy Keith, Realtor®, Keller Williams Realty
Would you like to purchase your next home without selling first?
As a Realtor, I have found many of my clients in a similar situation, and many don’t know that there are a number of options that would allow them to accomplish this. I spoke to Kel Jacobs at Mortgage Investors Group, and here are a few options she mentioned for these clients:
A Bridge Loan can make it happen! If you have around 30% equity in your home, a Bridge Loan may allow you to:
• Use equity for your next down payment
• Skip the requirement to sell before closing
• Cover up to 6 months of mortgage payments on your current home
• Qualify for better loan terms by removing your current payment from your DTI
• Avoid double moves, storage fees, or temporary housing
• Prep your home with up to $35,000 for listing, including $5,000 for moving costs
• Make stronger, non-contingent offers
Another option? Departure Residence Income. If you choose to rent out your current home, 75% of the rental income to can be used to help offset your mortgage – you will need to have a signed lease and proof of two months’ rent collected (like first month’s rent and security deposit).
Bridge Loans are often faster and cheaper than a HELOC – and less risky than tapping into retirement funds. Each investor has different guidelines, so let’s talk about what works best for your situation. Questions? I’m happy to help. Call 865-456-0874 or visit KelTheLoanLady.com.
Once you are ready to search for your next home or list your current one, feel free to call me at 865-384-4744 or visit NancyKeith.com to access all area MLS listings or to schedule your free comparative market analysis.