Mortgage solution
Bridge financing
A bridge loan fills the gap between buying and selling. Most lenders offer it only once your own property is sold, with a firm closing date.
Buying before the current property closes
The bridge pays the down payment on the new home while you wait for the sale proceeds. No signed sale agreement, and most lenders say no. That leaves a sale-conditional offer as the alternative.
Read the short-term cost
The rate is higher than on an ordinary mortgage, but the term is short, days to weeks. Usually the setup and notary fees dominate the total cost, not the rate.
Sale documents to confirm
Expect the lender to ask for an accepted offer, waived conditions, mortgage payout information and notary dates. Missing any of those and bridge financing gets harder or more expensive.
Documents to gather
What the lender will ask for.
- Purchase date
- Sale date
- Available equity
- Waived conditions
- Mortgage payout
- Bridge fees
Frequently asked
Can I get bridge financing if my home has not sold?
Rarely. Most lenders want an accepted sale with a firm closing date, since that sale is what repays the bridge. Without one, a sale-conditional offer on the new property is the realistic route.
Current rates
Today’s rates, with the fine print.
These rates are indicative. Yours depends on your file, the type of mortgage (insured or not) and the lender. And look at the penalty too, it matters as much as the number.
Have your file reviewed before you commit.
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Pick the situation closest to yours.
Contact
Tell Mathieu about your project
Buying, renewing, refinancing, or something a bit out of the ordinary: tell us where you’re at, even if it’s still fuzzy. Mathieu gets back to you with next steps and the documents to pull together.
- Your request goes directly to Mathieu
- Across Quebec, in French and English
- No fee on most residential files