Bridge Loan in Georgia

Bridge Loan Information

A bridge loan is for the borrower who wants to buy a home before their current home sells.

This financial tool gives qualified borrowers the ability to purchase their new home while waiting for their current home to sell. This is a great program for spouse's who are facing a separation due to a corporate relocation or for the person with a contingent sale that has not closed.

Here is how it works:

Bridge loan amount calculation:
Appraised value × 80% less existing liens = maximum bridge loan amount

Minimum loan amount of $10,000.

Maximum loan amount of $250,000

Principal & interest payments are due monthly at prime ( currently 4% ) + 1/2 % amortized for 30 years with a 12 month balloon.

6 months of Bridge with interest payments can be financed into the loans. Subject to maximum combined loan to value of 80%. Principal payments must still be made .

Home must have been borrower's primary residence for at least 12 months.

Must be listed for sale by a professional real estate company. Copy of listing agreement required .

All proceeds must go towards new home purchase. NO cash out allowed for moving expenses, home improvements or debt consolidation.

Loan on new house closes when bridge loan funds.

6 months PITI reserves required

 

 

At Garrett Mortgage , we offer many home loan mortgage programs. Together with the assistance of an experienced, "live" loan officer to guide you through the often difficult and confusing process of choosing and getting the exact home loan mortgage to meet your specific needs.