The individual is correct regarding the bridge loan but that is a loan that has to go through underwriting, etc just like your normal mortgage so if you have any doubt of not being able to close on the sale of your home in time for your closing date for the purchase of your new home, I would go ahead & start the process. Your debt to income ratio will increase because you have to be approved for the debt of the bridge loan, the new home and the current home. I would suggest contacting a lender regarding that program.
Mortgage Consultant - MetLife Home Loans- 885-7838.... more
Thanks to all for your input. I decided even though its a legitimate transaction, the IRS may look on it otherwise. I can't afford the house without the credit, so its not work the risk. Thanks again!... more