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Bridge Loans in Hollister
Hollister buyers often face timing gaps between selling their current home and closing on a new property. Bridge loans solve this by letting you access equity from your existing home before it sells.
In San Benito County's semi-rural market, bridge financing works well for move-up buyers targeting newer developments or ranch properties. These loans typically fund in 5-10 days versus 30-45 for conventional financing.
Most Hollister bridge borrowers use these loans for 3-6 months while marketing their current property. The speed matters when competing against cash buyers or securing properties in Ridgemark or the Bridle Ridge area.
You need at least 30% equity in your current property to qualify. Most lenders require 620+ credit and proof you can carry both mortgage payments temporarily.
Unlike conventional loans, bridge lenders focus on equity position and exit strategy over debt ratios. Your plan to sell the existing property matters more than current income documentation.
Properties must be owner-occupied primary or secondary homes. Investment properties qualify through different loan structures like hard money instead.
Only 15-20 lenders in our network offer true bridge financing. Rates run 7-12% depending on equity position and borrower strength.
Many advertised 'bridge loans' are actually hard money with prepayment penalties. We screen for lenders offering genuine short-term bridge products without penalty clauses.
The best pricing comes from portfolio lenders who hold these loans on their books. National banks rarely compete here since bridge volume doesn't justify their underwriting costs.
Bridge loans work best when your current home will sell within 90 days. If your property needs major repairs or sits in a slow pocket, hard money makes more sense.
Calculate total carrying cost before committing. Bridge interest plus your existing mortgage can run $4,000-8,000 monthly for typical Hollister properties worth $600,000-900,000.
List your current property before or immediately after closing the bridge loan. Lenders get nervous when homes sit unsold past 120 days and may demand early payoff.
Bridge loans cost more than home equity lines but fund faster and don't require monthly income verification. A HELOC might take 30 days and need full underwriting.
Hard money loans allow longer terms and work for investment properties, but carry higher rates and points. Bridge products specifically optimize for quick owner-occupied transitions.
Some borrowers use interest-only conventional loans with extended closing periods instead. That only works when sellers accept 45-60 day escrows, rare in competitive Hollister situations.
Hollister's market splits between older homes near downtown and newer construction in master-planned areas. Bridge loans work equally well for both since lenders care about equity, not property age.
San Benito County properties can take 45-90 days to sell depending on location and price point. Factor realistic sale timelines into your bridge planning to avoid renewal fees.
Rural parcels with acreage sometimes need appraisals from San Jose-based firms, adding 7-10 days to the bridge approval timeline. Start that process early if buying or selling land outside city limits.
Most lenders allow up to 80% combined loan-to-value across both properties. On a $700,000 Hollister home with $500,000 remaining mortgage, you could access roughly $60,000-100,000.
You'll need to refinance into longer-term financing or negotiate a loan extension at higher rates. Most lenders allow one 3-6 month extension but charge 1-2 points plus rate increases.
Yes, but timing gets tricky with builder delays. We structure these with 6-month initial terms since new construction rarely closes on schedule in San Benito County.
Most accrue interest that gets paid at sale closing. Some lenders offer monthly interest-only payments that reduce your total cost if the sale takes longer than expected.
Bridge loans serve owner-occupants moving between homes with 6-12 month terms. Hard money targets investors or major rehabs with 12-36 month terms and higher rates.
Mortgage financing for independent contractors and freelancers who earn 1099 income instead of traditional W-2 wages.
Mortgage programs that allow borrowers to qualify based on liquid assets rather than traditional employment income.
Non-QM loans that use 12 to 24 months of bank statements to verify income for self-employed borrowers.
Debt Service Coverage Ratio loans that qualify investors based on a rental property's income rather than personal income.
Mortgage programs designed for non-US citizens and non-permanent residents who want to purchase property in the United States.
Asset-based short-term loans primarily used by real estate investors for property acquisition and renovation projects.
Mortgages that allow borrowers to pay only the interest for an initial period, resulting in lower monthly payments upfront.
Financing solutions tailored for real estate investors purchasing rental properties, fix-and-flip projects, or investment portfolios.
Home loans for borrowers who have an Individual Taxpayer Identification Number instead of a Social Security number.
Adjustable rate mortgages held in a lender's portfolio rather than sold on the secondary market, offering more flexible terms.
Non-QM mortgages that use a CPA-prepared profit and loss statement to verify income for self-employed borrowers.
Home loans with interest rates that adjust periodically based on market conditions after an initial fixed-rate period.
Specialized mortgage programs designed to support homeownership in underserved communities with flexible qualification criteria.
Mortgages that meet the guidelines and loan limits set by Fannie Mae and Freddie Mac for secondary market purchase.
Financing for building a new home or making major renovations, typically converting to a permanent mortgage upon completion.
Traditional mortgage financing not backed by a government agency, offering flexible terms and competitive rates for qualified borrowers.
Innovative loan products that leverage projected home equity growth to provide favorable financing terms.
Government-insured mortgages from the Federal Housing Administration with low down payments and flexible credit requirements.
A revolving line of credit secured by your home equity that allows you to borrow funds as needed during a draw period.
A fixed-rate second mortgage that provides a lump sum of cash by borrowing against the equity built in your home.
Mortgages that exceed the conforming loan limits set by the FHFA, designed for financing high-value luxury properties.
Loans for homeowners aged 62 and older that convert home equity into cash without requiring monthly mortgage payments.
Government-backed zero down payment mortgages for eligible rural and suburban homebuyers who meet income limits.
Government-guaranteed mortgages for eligible veterans, active-duty service members, and surviving spouses with zero down payment.