The single biggest source of anxiety for downsizers is timing: “Where will I go? I can’t buy the new house until I get the cash from selling my old one, but I don’t want to move twice!”
This is the classic real estate “Chicken and Egg” problem. Fortunately, specialized financial products have evolved to solve this, giving you massive peace of mind.
The Modern Bridge Loan Solution
A bridge loan is a short-term, secured loan that “bridges” the gap between the purchase of your new home and the sale of your current home. It allows you to tap into the equity of your current home before you sell it. You can use this money for the down payment (or even an all-cash purchase) on your retirement home.
The Stress-Free Sequence:
- Buy First: Secure the bridge loan, buy your dream retirement home, and move in at your leisure.
- Sell Second: Now that your old home is vacant and staged perfectly, we list and sell it for the best price.
- Repay: The proceeds from the sale of the old home are used to immediately pay off the bridge loan.
This strategy eliminates the stress of timing two closings perfectly, ensures you only move once, and allows you to be a much stronger buyer in the competitive market.