What is it?
There are two types here. A construction loan pays for building a new home from the ground up. A bridge loan is short-term financing that helps you buy a new home before your current one sells. Both are designed for situations with a clear timeline and exit plan.
Good fit when...
- Building a brand new home from scratch
- Buying a new home before your current home has sold
- Major renovation projects that need construction financing
- Buyers with a clear plan and a defined timeline
- People with strong equity or savings to support short-term financing
Probably not the right fit if...
- People looking for long-term permanent financing (these are short-term loans)
- Buyers who need a low-cost loan option
- Anyone without a clear exit strategy — construction and bridge loans are not meant to last
- Borrowers with limited equity or financial reserves
Not sure if this is the right loan for you?
Take the loan finder quiz or book a free call. I will look at your full picture and tell you exactly what makes sense.