Contingencies of A Property Deal - Using A Bridge Loan

Well, good afternoon everybody my name is Chris Berger and it’s time for a Berger Point.

You know, recently I was working with a buyer and we made an offer on a home…

And whenever a buyer makes an offer there’s always going to be contingencies.

The ability to get a mortgage —- and most sellers will gladly accept that.

Well, the second contingency generally is they want to do an inspection.

Again, completely acceptable.

Now, the whole idea when your agent is presenting the seller with an offer is that the buyer’s offer wants to be simply the best!

So recently I was working with a client and she wanted to make it a contingency based on the selling of her house.

Well, you know in the past, that’s been a real no-no, and how do you solve that?

n today’s market houses are going quicker, but again making an offer when there’s three or four other offers on the table — that kind of contingency just isn’t going to make it.

So what I suggested to my buyer is that she should talk to her mortgage broker and secure what is called a bridge loan.

And simply what a bridge loan is — and the mortgage companies are more than willing to do this — is that they will fund you a loan to the buyer based on your current home in order to purchase your new home.

So this way you don’t have to have the contingency that I have to sell my home is simply huge!!

Talk to your agent about it. Talk to your mortgage broker about it.

Be ready to move on your home, so that you can be ready to buy quickly.

The seller will be happy. You’ll be happy and…

Coming up I’m going to see a tribute band to Crosby, Stills, Nash and Young.

Actually I’ve seen them a couple of times. It’s going to be in the Paramount Theater in Peekskill, NY on July 12th.

They are so good! One is a tony award winner — Outstanding! i

It’s a great night and that’s my point.