They have gone the way of end unicorn

Eagle Bank does bridge loan. You are looking at prime plus 2% and 1.5 points.

20:01 here -- it's National Capitol Bank. (Their rates were lower than BOG in May, anyway).

Try Bank of Georgetown. THere's another one on the Hill, too. I looked into it earlier this year in case we needed it; we did not. And it's not a bridge loan per se, but something that functions like one -- they loan to you based on a percentage of the equity that you have in your current home. Closing costs were decent (somewhere in the $1500-3000 range) and it takes a few weeks for the appraisal and approval to come through, so give yourself enough time in your offer if you absolutely need it.

Is the purchase contingent on the sale of your home? Or can you carry both mortgages if your house doesn't sell?

Anonymous wrote:I think that lenders willing to bridge loans are hard to find these days. not much else to add, sorry

+1, i think they're pretty much not there anymore... I basically gave myself a bridge loan by using our home equity credit line that was already in place on our old house combined with a 401k loan. Once my old house closed, I paid back the 401k loan instantly and the funds we're out of it for only about 2-3 months. The lender was fine with me pulling money from both of these sources and I was upfront with them about it as well.

To add it's pretty scummy to put in a letter of intent to your friends and then not let them know it's based on selling your home.

Aren't you legally supposed to put in the contract that your offer is contingent on sale of your current home?

I think that lenders willing to bridge loans are hard to find these days. not much else to add, sorry

Two questions follow:


I've just been pre-approved by my lender for a loan to purchase (direct sale) a house from some frineds. That said, I'm in the process of putting my current house on the market and hope it moves fast so I can close in a few weeks if not sooner (crossing fingers!). With that said, and for whatever reason if my hosue doesn't move as fast as I'd like I'm composing a letter of intent to purchase their house. I realize this letter of intent in non-binging, nonetheless I'd appreciate feedback/recommendations on what to include in the letter of intent. I do not want to make the purchase of their house contingent on the sale of my current residence. Other than that, any recommendations that I should include to magnify my seriousness/commitment to purchase their house is appreciated.

Also, I've just started to look at possibly getting a bridge loan. Does anyone know or can anyone recommend a good carrier that offers this type of loan? Also, any items to be on the look out for re: bridge loan? Range of interest rates (%) for such a loan?

TIA