- Joined
- Oct 13, 2010
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- 10,797
In a case where you want to buy one house and sell another, and also want an overlap of a week or so to move, I guess there's this 'bridge loan' thing. I'm looking for some wisdom, if anyone has experience with this. Let's also say the seller isn't agreeing to allowing the move-in before the closing (that would be much preferred, obviously).
Say the new house would be less than 10% loan (90%+ paid for) given the wad of cash from the sale of the existing house. But that cash won't be available for a week (for the convenience of owning both houses during the move).
In another wrinkle, let's say the banker is saying they want to write-up the loan for the new place, and later iron out the details of the bridge loan. Again, no experience with this, but that seems weird to me. Wouldn't both "deals" be nailed-down at the same time?
And another final wrinkle that bugs me. The banker wants to roll-in a 3.9% car loan into the deal. So forcing a payoff on a low interest rate car loan, turning it into a higher rate mortgage loan. The excuse is something about "debt ratio", which is puzzling to me, because the debt just moves and doesn't change.
Say the new house would be less than 10% loan (90%+ paid for) given the wad of cash from the sale of the existing house. But that cash won't be available for a week (for the convenience of owning both houses during the move).
In another wrinkle, let's say the banker is saying they want to write-up the loan for the new place, and later iron out the details of the bridge loan. Again, no experience with this, but that seems weird to me. Wouldn't both "deals" be nailed-down at the same time?
And another final wrinkle that bugs me. The banker wants to roll-in a 3.9% car loan into the deal. So forcing a payoff on a low interest rate car loan, turning it into a higher rate mortgage loan. The excuse is something about "debt ratio", which is puzzling to me, because the debt just moves and doesn't change.