hi, i pretty much got my back against the wall, im trying to put a foreclosure deal together, im maxed out on money in bank ( 28,000 needed for reserves )…and have one property for sale now i should make 200k on…but it’s a slow market up north here… one lender told me he could do a bridge loan for me using a commercial property i own…i don’t know much about them, but im meeting with him tomorrow…anyone fill me in
A bridge loan is a loan that you take out as a short term loan until one of the properties that you have sells.
It’s function is to take out the equity before you sell your house to use as a downpayment for the new property.
They are usually priced around prime for 6 months. Some are 12 but usually they are 6.
I hope this helps.
thanks ramona, i think it’s the only way i can get this deal done…its a slow market for selling up here round boston…
You are welcome