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Santa Cruz County moves fast. Waiting to sell before you buy often means losing the property you want.
A bridge loan gives you short-term cash to close on the new home now. You repay it once your current property sells.
6–12 months
Typical Loan Term
Equity-driven
Credit Focus
Non-QM
Loan Type
Yes — always
Exit Strategy Required
Higher than conventional
Rate Type
Bridge Loans in Watsonville
Bridge loans are non-QM products. Lenders care more about your equity and exit strategy than your W-2.
You generally need strong equity in your departing property — often 20–30%. Your credit still matters, but it's not the deciding factor.
Local decision guide
Use this guide to connect bridge loans eligibility, lender expectations, and local market factors before comparing payment options in Watsonville.
Santa Cruz County moves fast. Waiting to sell before you buy often means losing the property you want.
A bridge loan gives you short-term cash to close on the new home now. You repay it once your current property sells.
Bridge loans are non-QM products. Lenders care more about your equity and exit strategy than your W-2.
Big retail banks rarely offer bridge loans. Most won't touch them at all — too short, too complex.
Wholesale lenders and private money sources are where these deals get done. We have access to 200+ lenders, and we know which ones actually close bridge deals fast.
The biggest mistake I see: borrowers underestimate how fast bridge loans need to close. Pick a lender who has done this before.
Your exit strategy needs to be realistic. If your Watsonville property sits longer than expected, you're paying bridge loan interest the whole time.
Hard money loans are the closest alternative. They're faster but typically carry higher rates and fees.
A home equity line of credit (HELOC) works too — if your bank moves fast enough. In competitive Santa Cruz County situations, they usually don't.
Watsonville sits at the southern edge of Santa Cruz County. Agricultural land use and zoning add complexity to some deals here.
Properties near the Pajaro Valley or with agricultural designations may face tighter lender scrutiny. Know your collateral before you apply.
Most bridge loans run 6 to 12 months. Some lenders extend to 24 months if your exit strategy supports it.
No — that's the point. You apply with your current home as collateral and sell it after you close on the new one.
Yes. Bridge loans carry higher rates than conventional mortgages. Rates vary by borrower profile and market conditions.
Sometimes. Ag-zoned properties require specialized lenders. Not every bridge lender will approve mixed-use or ag collateral.
You'll keep paying interest on the bridge loan. Talk to your broker about extension options before you close.
They're similar but not identical. Bridge loans typically have more structure; hard money is faster and looser on terms.