Online House Hunting - i have my house for sale and I want to buy another one while its on the market. Is there a loan for that?

i have my house for sale and I want to buy another one while its on the market. Is there a loan for that?

I have a mortgage on my home for 122,000 I have approx 50,000 equity in it. I have it for sale. I am wanting this other property for 225,000. I am paying rent till house sales. Is there a way to finance my new home and get the equity out of one for sale, to use as down payment. thaqnks

Public Comments

No. Your agent will make your purchase contingent upon sale of your existing home.
There is a product called a bridge loan that could fit your scenario, but I wou'dn't recommend it unless you already have a buyer lined up and ready to go.Bridge loans usually have extremely short terms and severe penalties for not completing everything in time. Why not put in an offer on the house you want but make it contingent on the sale of your current home? That covers you in the event you can't sell your house. Also, you wouldn't have to pay interest on the in-between loan in order tto get the new house.
No, unless you can qualify for the loan paying both mortgages. Also, you cannot take out a loan on the first for the equity while the house is for sale. Most lenders require that the property your getting the equityline out for has not been on the market in the last 60-90 days or more. You need to wait until you have a sales contract and then you can buy a new home contingent on the first home selling.
a bridge loan
I'm a little confused. Are you renting(living in) the $225,000 property now? If so, why not just be patient until your old home sells and then yes the 50K would go toward your new house.
In todays markets contingencies are not going over very well. Buyers want to be ready to sell to the first comer who has a loan lined up and ready to get to closing. Can't blame them. Until you see what you can sell the house for you do not know WHAT your equity is and I suspect if you have the house priced at top dollar you are in for a huge surprise. Good luck it's a nasty market right now.
You can get a bridge loan, but in this market why would you want to? This is a dangerous market to speculate, you are better off if forced to move out of the area to rent, if possible, rent your present home that is.As for the new house, see if you can rent with the intent to buy at the end of the lease. Talk to a REALROR, but don't sign a contract of sale for longer than 3 months,
with the current market - it could take you 6-9 months or longer to sell your house - can you afford 2 house payments for 9 months?
Make sure to price out your loan with your LOCAL banks and mortgage brokers only. A lot people giving advice on here are also looking to give you a loan (its not advice, its advertising), if they are not local to you and you can’t get to them within 1 hour don’t fall for it. They say they are licensed in all 50 states, what does that mean? Which state do you have to look in first if something goes wrong? KEEP IT LOCAL; DON'T GET RIPPED-OFF BY SOMEONE IN WHO KNOWS WHERE WHICH YOU WOULD HAVE NO DIRECT ACCESS TO. Remember Buddha's advice: "Believe nothing, no matter where you read it or who has said it, not even if I have said it, unless it agrees with your own reason and your own common sense." You are the only "expert" you can trust: All brokers, and every other loan officer guru giving advice here with a .com or contact me at the end is "selling" you something (its not advice, its advertising). Don't buy "it."