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West Hollywood real estate moves fast. Properties under $2M get multiple offers within days, often with all-cash competition.
Bridge loans let you act like a cash buyer while your current property sells. In WeHo's tight inventory market, that speed advantage often means the difference between winning and losing a bid.
Most sellers here prefer clean offers without sale contingencies. A bridge loan removes that obstacle without forcing you to liquidate investments or tap retirement accounts.
Bridge Loans in West Hollywood
You need significant equity in your current property. Most lenders require 30-40% equity minimum, and some want 50% for non-owner occupied properties.
Credit matters less than equity. I've closed bridge loans for borrowers with 640 scores when they had 60% equity in a Sunset Strip condo.
Lenders verify ability to carry both mortgages temporarily. Expect to show reserves covering 6-12 months of payments on both properties.
Local decision guide
Use this guide to connect bridge loans eligibility, lender expectations, and local market factors before comparing payment options in West Hollywood.
West Hollywood real estate moves fast. Properties under $2M get multiple offers within days, often with all-cash competition.
Bridge loans let you act like a cash buyer while your current property sells. In WeHo's tight inventory market, that speed advantage often means the difference between winning and losing a bid.
Most sellers here prefer clean offers without sale contingencies. A bridge loan removes that obstacle without forcing you to liquidate investments or tap retirement accounts.
Traditional banks rarely touch bridge loans anymore. You're looking at private lenders, specialty finance companies, and portfolio lenders who hold their own paper.
Rates run 7-12% depending on your equity position and exit strategy. These aren't cheap, but you're paying for speed and flexibility, not long-term affordability.
Most bridge loans carry 6-12 month terms. Some lenders offer extensions if your property hasn't sold, usually for a fee of 0.5-1% of the loan amount.
Expect 2-4 points in origination fees. West Hollywood properties command better pricing because lenders see them as highly liquid collateral.
Bridge loans work best when your current property will sell within 6 months. If you're underwater on timeline or the market shifts, you're stuck carrying two expensive mortgages.
I tell clients to price their existing property aggressively from day one. The bridge loan clock starts ticking immediately, and carrying costs add up fast in this rate environment.
West Hollywood sellers upgrading to Hollywood Hills or Beverly Hills adjacent neighborhoods use these most. The price jump is too big to save the gap, but their WeHo condo equity unlocks the move.
Have a backup plan. What happens if your property doesn't sell in 6 months? Can you rent it? Extend the loan? Refinance the new property into permanent financing? Answer these before closing.
Hard Money Loans cost more but offer even faster closes and work for properties needing renovation. Bridge loans assume your current property is market-ready.
Home Equity Lines give you access to equity without selling, but most lenders cap combined loan-to-value at 80-90%. Bridge lenders go higher, sometimes to 95% CLTV.
Some buyers consider Interest-Only Loans to reduce payment burden while carrying two properties. That works if you're willing to wait and list later, but removes the urgency advantage.
West Hollywood condos in full-service buildings carry HOA fees that spike your carrying costs during the bridge period. Factor $800-1,500/month into your budget.
The WeHo rental market is strong. If your sale timeline extends, converting to a rental often generates enough income to cover the bridge loan payment until you can sell at your target price.
Parking matters here. Properties with dedicated spaces sell faster, which affects your bridge loan risk. A unit with tandem parking in a Walk Score 95 location moves in 30 days. No parking can sit for 90+.
Most bridge lenders recognize West Hollywood zip codes as premium collateral. You'll get better loan-to-value ratios here than in surrounding LA County areas.
Most bridge loans close in 7-14 days with complete documentation. Cash-out scenarios or complex title situations may add a week.
Most lenders offer 6-month extensions for a fee. You can also refinance the new property into conventional financing or convert your existing property to a rental.
Yes, condos qualify easily here. Lenders prefer buildings with strong HOA reserves and low owner-occupancy ratios under 50% in some cases.
Most lenders require an active listing or signed listing agreement. They want proof you're committed to selling, not just accessing equity.
Bridge loan amounts depend on your equity and the new purchase price. I've arranged bridge financing up to $3M for qualified West Hollywood sellers.
Consult your tax advisor, but interest on loans secured by your primary residence may be deductible. Investment property rules differ significantly.