Question 1

How long does a bridge loan last in Santa Cruz?

Accepted Answer

Most bridge loans run 6 to 12 months. That gives you time to sell your current home and pay off the bridge.

Question 2

Do I need to sell my home first to qualify?

Accepted Answer

No — that's the point. You qualify based on equity in your current home. You sell after you've already purchased.

Question 3

Are bridge loan rates higher than conventional rates?

Accepted Answer

Yes. Bridge loans carry higher rates due to their short-term, non-QM structure. Rates vary by borrower profile and market conditions.

Question 4

Can I use a bridge loan on a Santa Cruz investment property?

Accepted Answer

Yes. Bridge loans work for both primary residences and investment properties. Lender requirements differ slightly for each.

Question 5

What happens if my home doesn't sell in time?

Accepted Answer

Most lenders offer extensions, sometimes for a fee. Your exit strategy should be solid before you close the bridge loan.

Question 6

How much can I borrow with a bridge loan?

Accepted Answer

It depends on your equity and the lender's LTV limits. Most programs cap at 70-80% of your current home's value.

Bridge Loans in Santa Cruz: Move Fast, Don't Miss the Deal