<Steve> 82 Report post Posted November 6, 2004 I have recently heard from a seller that they have a bridge loan on their house. Apparently, they have bought a second home with a bridge loan and in some way this mortgage is tied to their first home. I am not sure how this works does anyone know? Thanks <S> Share this post Link to post Share on other sites
MichaelC 160 Report post Posted November 6, 2004 Steve, a bridge loan is a short term loan with a quick pay back date, usually just a few months down the road. It's usually used to fill a quick need for cash, with the anticipation that it will be paid off in full when the borrower's expected cash infusion is received.As for this bridge loan being tied into their first home, I'm guessing some of the equity in that property was used to secure the loan. Share this post Link to post Share on other sites
lacashman 0 Report post Posted November 11, 2004 A bridge loan can be use for all kinds of short term finacing. The one that most RE investors know is Hard Money. Most hard money loans are for rehabbing. Most have terms for 6 to 12 months. Like MichaelC posted it looks as if the put up the equity in this property as collataoral. Share this post Link to post Share on other sites
