Get the financing you need to buy a new property before you sell your current home.
What Is a Bridge Loan?
A bridge loan is a short-term loan used to fund a new property. It allows you to borrow money against your current home's equity and use it for the down payment on your new home. A bridge loan is an excellent option for homebuyers who want to purchase a new home without the pressure of immediately selling their current one.
At Midland States Bank, we know how overwhelming it can be to try to sell your current home before moving into your new one. Let us help you ease some of that stress with a bridge loan. When you get a bridge loan from us, you'll benefit from:
More time and flexibility.
Taking out a bridge loan gives you extra time to sell your current home. You can move right into your new house without a time gap between closings, eliminating the need to rent or store your belongings temporarily.
Fast process.
A bridge loan allows you to act fast so you can take advantage of real estate bargains and unique opportunities. You can also make an offer without a sales contingency, which can give you an edge in a seller's market.
Repayment options.
You can pay off your bridge loan by making fixed monthly payments, interest-only monthly payments or no payments until your old home is sold.
The main difference is that a bridge loan is short term, while a conventional loan is long term. Bridge loans are typically repaid within 12 months. Most conventional loans have repayment terms of 10 to 30 years.
Generally speaking, if you live in Illinois or Missouri and have good credit, you may qualify for a bridge loan. Specific qualifications vary between lenders. Most lenders evaluate your credit, income and current home to determine whether you qualify.
The time it takes to get a bridge loan varies depending on your lender and property. In many cases, the process is quick. You can often get approval and funding within just a few weeks.
Midland States Bank is a trusted financial services company. We make it quick and easy for you to secure a reliable bridge loan. Our team of experienced mortgage specialists takes heart in helping you find the right options for your needs.
Get started on your an online bridge loan application, today, or contact one of our experts for assistance.
