In our recent Q&A with Peter Zomick, VP of Sales & Business Development at Arrival Home Loans, we explored their unique bridge loan product. This bridge loan stands out for its ability to facilitate a smoother transition for those purchasing new properties while retaining ownership of their current ones. Its distinguishing feature is the utilization of cross-collateralization, allowing for potentially greater loan amounts, sometimes exceeding 100% of the new property’s purchase price. This is especially advantageous for individuals tight on funds and looking for creative solutions before selling their existing home.
Understanding the Cross-Collateralization Part is Key and what makes this different:
Cross collateralization, a pivotal element of this bridge loan, it uses multiple properties as collateral. For this particular product, both the current residence and the new property are assessed to calculate the loan amount at 75% of the combined value. By considering the value of both and deducting any existing mortgages, borrowers in some cases obtain loans in excess of the new property’s purchase price, enabling renovations or improvements on both properties.
Key Benefits of the Program:
- Avoiding Double Moves: Simplifies the transition process.
- Becoming a Cash Buyer: Facilitates quick closings.
- Asset Preservation: Avoids the complications of selling assets.
- Potential for Higher Sale Prices: Increases the value of the existing home.
- Simplified Qualification: Eliminates the need for multiple loan approvals.
We have included some of their program details but For more details and a full presentation on this program, visit Arrival Home Loans. Feel free to contact us or Peter Zomick at Peter@arrivalhomeloans.com for inquiries or further information.
If you want to know how to use this program as a lead generation magnet for you, we have a full blueprint for it and many others for our clients. Schedule an appointment to find out how you can leverage programs like these to build your portable personal brand.
