It is a type of mortgage loan for those users who wish to acquire a new home but who continue to face the home loan they already have.
The real estate sector has been damaged since the beginning of the pandemic. During the month of July, the decline with respect to mortgages intensified, reaching 23%, assuming five consecutive months of negative figures.
Suncoast mortgage bridge loans allow us to reactivate and encourage in a certain way the purchase of homes since we can acquire a new home, even if we have not finished paying for the one we already have.
It is also a very interesting opportunity for those users who are looking for financing for a new home while they wait to sell the one they already bought. Thanks to the credit granted by the loan, the user can manage the payments of both homes with much more peace of mind until he manages to sell the current property.
What are they, and how to apply for bridge mortgage loans?
Of course, before taking the step to apply for a loan of these characteristics, first, we have to properly inform ourselves about the advantages and disadvantages available to it, in order to carefully weigh whether it is the most favorable option according to our situation and our needs. Requirements.
Something that we cannot deny is that the bridge mortgage loan is a great opportunity for all those owners who have seen their income or their economy in general, affected by the crisis generated by the pandemic, and who find themselves in the situation of putting sell your own house.
In this way, one of the main advantages of this type of loan is precisely the peace of mind that it provides us to be able to put the house we have for sale at the same time that we acquire another one to be able to live in it and manage both payments through of the credit granted.
In addition, by having more time to be able to sell the property, we do not run the risk of ending up selling it for a much lower price than is appropriate, simply because of the urgency of having the money. The bridge mortgage loan offers us a series of installments on the credit that does not become more expensive no matter how much time passes since it is a term that is agreed with the entity before contracting it.
On the other hand, not all are advantages, and it is convenient to take into account the risks that we can assume with this type of loan to assess if it is appropriate. For example, at the time we take out the loan, the bank gives us a maximum term of 5 years to be able to sell the home we already have.
This implies that, for as long as we are without selling the property, we will have to pay a monthly fee to the bank. Regarding this, banks offer a grace period so as not to have to deal with large amounts of money each month. There is also the possibility of negotiating a special payment with the entity.
When the house is finally sold, we have the option of repaying part of the acquired debt with part of the money we have obtained from the sale, and once this is done, we can formalize a common mortgage. If after the period of five years that the entity gives us to carry out the sale, we have not been able to carry it out, we would be obliged to pay a normal installment with interest, amortizing the capital in relation to the characteristic system of the loan, only that more expensive since it is the payment of two properties.
