Loading
West Sacramento buyers often need to close on a new property before their existing home sells. Bridge loans provide short-term financing that solves this timing problem.
The Sacramento metro market moves unpredictably—sometimes homes sit for months, other times they sell in days. A bridge loan gives you control over your timeline instead of scrambling to coordinate two closings.
Bridge Loans in West Sacramento
Most bridge lenders require 20-30% combined equity across both properties. You need strong credit—usually 680 minimum—and proof you can carry both payments temporarily.
Lenders verify your existing home's market value and expected sale timeline. They'll want a listing agreement or comparable sales showing realistic pricing. Some will approve you carrying both mortgages, others require the bridge loan to be the only payment.
Bridge loans live in the non-QM space, so you won't find them at Wells Fargo or Chase. We work with private lenders who specialize in short-term real estate financing.
Rates run 7-12% as of February 2026—higher than conventional mortgages but reflect the short-term nature and risk. Rates vary by borrower profile and market conditions. Expect origination fees between 1.5-3 points.
Bridge loans work best when you have a clear exit strategy. That means your existing home is priced correctly and likely to sell within 6 months. If you're guessing on value or in a slow market, you risk extension fees or forced refinancing.
Some lenders now accept cryptocurrency holdings as additional collateral or reserves. If you hold significant digital assets, that can strengthen your bridge loan application by showing liquidity beyond the properties themselves.
Most people consider home equity lines as an alternative. HELOCs are cheaper but require months to set up and strict debt-to-income limits. Bridge loans move fast—you can close in two weeks when needed.
Hard money loans offer similar speed but focus on property value over borrower credit. Bridge loans require better credit but offer cleaner terms and easier payoff when your home sells.
West Sacramento attracts Sacramento workers priced out of East Sacramento and Midtown. Bridge loans help these buyers compete in the Bridgeway Island and Lighthouse areas without contingent offers.
Yolo County properties sometimes take longer to sell than Sacramento County equivalents. Factor this into your timeline—if your current home is in a slower pocket, budget for 8-10 months instead of 6.
Most lenders offer 6-month extensions for a fee—usually 1-2 points. Some require you to refinance into a conventional loan if the home hasn't sold within 12 months.
Yes, but expect stricter terms. Lenders want to see you're serious about selling—a listing agreement and realistic price help approval odds significantly.
Depends on the structure. Some require interest-only payments, others defer all payments until you sell. Deferred payment options cost more in total interest.
Most lenders want 25% equity minimum after accounting for the bridge loan. If you owe $400k on a $600k home, you have $200k equity—enough for most programs.
Yes. Investors use bridge loans to acquire properties quickly while refinancing or selling other assets. Expect slightly higher rates for non-owner-occupied deals.