{"id":23094,"date":"2026-01-28T05:56:20","date_gmt":"2026-01-28T05:56:20","guid":{"rendered":"https:\/\/budgetadirect.com\/?p=23094"},"modified":"2026-01-28T05:56:21","modified_gmt":"2026-01-28T05:56:21","slug":"what-is-a-bridge-loan-and-how-does-it-work","status":"publish","type":"post","link":"https:\/\/budgetadirect.com\/?p=23094","title":{"rendered":"What Is A Bridge Loan And How Does It Work?"},"content":{"rendered":"<div id=\"\">\n<div class=\"overflow-hidden relative bg-blue-50 aspect-video w-full rounded-lg\"><\/div>\n<p>\n            DenisTangneyJr\/Getty Images\n        <\/p>\n<\/p><\/div>\n<div xmlns:default=\"http:\/\/www.w3.org\/2000\/svg\">\n<div id=\"block_06bad785845225e72dd0fd4de44d9262\" class=\"key-takeaways sm:border-l-4 border-(--accent) sm:pl-8 my-8 relative\" style=\"--accent: var(--color-blue-medium)\">\n    <!-- htmlmin:ignore --><\/p>\n<h2 class=\"heading-4 mt-0 mb-4 text-crop-none max-sm:flex max-sm:items-center max-sm:gap-4\" id=\"key-takeaways\" data-position=\"0\" data-beam-element-viewed=\"\" data-id=\"br-h2-0-onpage-placement\" data-type=\"h2\" data-location=\"Editorial\" data-name=\"h2_all\" data-text=\"Key takeaways\" data-outcome=\"\">\n    <span class=\"shrink-0\">Key takeaways<\/span><br \/>\n        <span class=\"max-sm:h-0.5 max-sm:w-full max-sm:w-full max-sm:bg-(--accent) max-sm:rounded-full max-sm:block\"\/><br \/>\n    <\/h2>\n<p>    <!-- htmlmin:ignore --><\/p>\n<ul class=\"flex flex-col text-gray-700 mb-0 gap-2 list-disc\">\n<li class=\"pl-4 relative marker:text-(--accent)\">\n                                                            Bridge loans are short-term loans that help cover costs during transitional periods, most often if you must buy a new home before selling your old one.\n                                                <\/li>\n<li class=\"pl-4 relative marker:text-(--accent)\">\n                                                            Like a mortgage, your home may serve as collateral for a bridge loan. Some bridge loans allow you to pledge other assets instead.\n                                                <\/li>\n<li class=\"pl-4 relative marker:text-(--accent)\">\n                                                            Many lenders only offer bridge loans if you also work with them to finance your next home purchase.\n                                                <\/li>\n<\/ul>\n<\/div>\n<h2 id=\"what-is\" data-position=\"1\" data-beam-element-viewed=\"\" data-id=\"br-h2-1-onpage-placement\" data-type=\"h2\" data-location=\"Editorial\" data-name=\"h2_all\" data-text=\"What is a bridge loan?\" data-outcome=\"\">What is a bridge loan?<\/h2>\n<p>A bridge loan \u2014 also referred to as a gap loan or a swing loan \u2014 is a short-term loan that typically helps with financing when moving from one house to another. Bridge loans are often secured by your current home, but some allow for other types of assets.<\/p>\n<p>You might use a bridge loan if you need a new home before your old one has sold, and you need extra cash for a down payment and the additional monthly mortgage payment. Real estate investors who flip properties often rely on bridge loans, as well.<\/p>\n<h2 id=\"how-it-works\" data-position=\"2\" data-beam-element-viewed=\"\" data-id=\"br-h2-2-onpage-placement\" data-type=\"h2\" data-location=\"Editorial\" data-name=\"h2_all\" data-text=\"How does a bridge loan work?\" data-outcome=\"\">How does a bridge loan work?<\/h2>\n<p>Bridge loans vary widely in structure, cost and terms. If you qualify, you could borrow a relatively large sum, anywhere from tens of thousands of dollars to more than $1 million.<\/p>\n<p>Some of the characteristics of a bridge loan include:<\/p>\n<ul class=\"wp-block-list\">\n<li>\n<strong>Purpose: <\/strong>A bridge loan might involve cashing out equity from your current home and putting that toward a down payment on a new property \u2014 or, simply taking out a bigger mortgage for the new property. Another type of bridge loan uses both homes as collateral.<\/li>\n<li>\n<strong>Duration:<\/strong> Bridge loan terms are usually six to 12 months, though some lenders offer terms as short as three months.<\/li>\n<li>\n<strong>Terms<\/strong>: With some bridge loans, you\u2019ll make interest-only payments to start and then owe a balloon payment at the end of the loan term. In other cases, you may not need to make any up-front payments until you sell your home.<\/li>\n<li>\n<strong>Rates: <\/strong>Rates can range anywhere from the prime rate to the prime rate plus 2 percentage points.<\/li>\n<\/ul>\n<h3>Bridge loan example<\/h3>\n<p>Say your current home is worth $300,000 and you have a $50,000 balance on your mortgage. If you got a bridge loan for $70,000, you could use $50,000 to pay off your mortgage and another $2,000 for the loan\u2019s closing costs. Then you\u2019d have $18,000 for your next purchase.<\/p>\n<h3>Bridge loan vs. traditional mortgage<\/h3>\n<p>The primary difference between a bridge loan and a traditional mortgage is the timeline for repayment. The term on a bridge loan typically lasts six to 12 months, while the term on a mortgage can be up to 30 years. In addition, lenders fund bridge loans faster than traditional mortgages \u2014 sometimes in as little as two weeks.<\/p>\n<h2 id=\"when-to-get\" data-position=\"3\" data-beam-element-viewed=\"\" data-id=\"br-h2-3-onpage-placement\" data-type=\"h2\" data-location=\"Editorial\" data-name=\"h2_all\" data-text=\"When should you get a bridge loan?\" data-outcome=\"\">When should you get a bridge loan?<\/h2>\n<p>Bridge loans can be a valuable funding option for certain people, including in the following instances:<\/p>\n<ul class=\"wp-block-list\">\n<li>\n<strong>Homeowners purchasing a new home in need of down payment funds<\/strong>: A bridge loan can be helpful in cases when you\u2019re buying a new home but have not yet sold your existing home. The funds from the loan can help you make a down payment on your new home.<\/li>\n<li>\n<strong>Investors flipping homes<\/strong>: If you\u2019re in the business of purchasing fixer-upper homes that you renovate and sell quickly, a bridge loan can be a helpful funding option.<\/li>\n<\/ul>\n<p>However, there are risks involved in taking out a bridge loan. For one, you\u2019ll need a plan to repay the funds quickly \u2014 often in less than a year. If your current home doesn\u2019t sell and you can\u2019t pay back the loan, you could face foreclosure. In addition, like other loans, bridge loans come with closing costs, which can cost you thousands.<\/p>\n<div id=\"block_577b7cc028575b4aecb7570622ad8118\" class=\"flex flex-col gap-8 my-6 not-wysiwyg\">\n<div class=\"ProsAndConsTable\">\n<div class=\"ProsAndConsItem\">\n<div class=\"ProsAndConsItem-headerContainer flex items-center gap-2\">\n<div>\n                <img decoding=\"async\" src=\"https:\/\/budgetadirect.com\/wp-content\/uploads\/2025\/06\/circle-check.svg.svg+xml\" alt=\"Green circle with a checkmark inside\"\/>\n            <\/div>\n<p>            <!-- htmlmin:ignore --><\/p>\n<h3 class=\"ProsAndConsItem-header\">\n    Pros of bridge loans<br \/>\n    <\/h3>\n<p>    <!-- htmlmin:ignore -->\n        <\/div>\n<ul class=\"ProsAndConsItem-list\">\n<li>Cash in hand quickly: A bridge loan is good for time-sensitive or quick transactions. Some lenders can fund in as few as two weeks.<\/li>\n<li>Payment flexibility: You can defer payments until your current home sells, or make interest-only payments.<\/li>\n<li>No contingency needed: Rather than place a contingency on your new home purchase that your old home must sell for financial reasons, a bridge loan provides the funds to settle on your new home even if the old one hasn\u2019t sold yet.<\/li>\n<\/ul><\/div>\n<div class=\"ProsAndConsItem\">\n<div class=\"ProsAndConsItem-headerContainer flex items-center gap-2\">\n<div>\n                <img decoding=\"async\" src=\"https:\/\/budgetadirect.com\/wp-content\/uploads\/2025\/06\/remove-circle.svg.svg+xml\" alt=\"Red circle with an X inside\"\/>\n            <\/div>\n<p>            <!-- htmlmin:ignore --><\/p>\n<h3 class=\"ProsAndConsItem-header\">\n    Cons of bridge loans<br \/>\n    <\/h3>\n<p>    <!-- htmlmin:ignore -->\n        <\/div>\n<ul class=\"ProsAndConsItem-list\">\n<li>Equity requirements: Many lenders require at least 20% equity in the current home. This can be a barrier to entry for some.<\/li>\n<li>Financing requirements: The lender might extend a bridge loan only if you agree to use it for your new home mortgage, too.<\/li>\n<li>Higher rates: Bridge loans usually have higher interest rates and APRs compared to traditional mortgages.<\/li>\n<li>Limited borrower protections: Bridge loans rarely come with protections for the loan holder if the sale of the old home falls through. The lender could potentially foreclose on the property after the bridge loan extensions expire.<\/li>\n<\/ul><\/div>\n<\/div><\/div>\n<h2 id=\"loan-requirements\" data-position=\"4\" data-beam-element-viewed=\"\" data-id=\"br-h2-4-onpage-placement\" data-type=\"h2\" data-location=\"Editorial\" data-name=\"h2_all\" data-text=\"Bridge loan requirements\" data-outcome=\"\">Bridge loan requirements<\/h2>\n<p>Like with other types of mortgage loans, you\u2019ll have to meet some requirements to qualify for a bridge loan, including those around:<\/p>\n<ul class=\"wp-block-list\">\n<li>\n<strong>Credit score: <\/strong>Credit score requirements vary by lender, but you\u2019ll often need a minimum\u00a0score of 680 to qualify for a bridge loan.<\/li>\n<li>\n<strong>Debt-to-income (DTI) ratio: <\/strong>Some bridge loan lenders allow a DTI ratio as high as 50%.<\/li>\n<li>\n<strong>Equity: <\/strong>If you\u2019re taking on a traditional bridge loan, many lenders require at least 15% to 20% equity in your current home.<\/li>\n<\/ul>\n<h2 id=\"how-to-apply\" data-position=\"5\" data-beam-element-viewed=\"\" data-id=\"br-h2-5-onpage-placement\" data-type=\"h2\" data-location=\"Editorial\" data-name=\"h2_all\" data-text=\"How to apply for a bridge loan\" data-outcome=\"\">How to apply for a bridge loan<\/h2>\n<p>The process of applying for a bridge loan is similar to applying for a regular mortgage:<\/p>\n<ol class=\"wp-block-list\">\n<li>\n<strong>Determine your home equity. <\/strong>This is the difference between the value of your home and the outstanding balance of your current mortgage. Most lenders allow you to borrow only up to 80% or 85% of your equity.<\/li>\n<li>\n<strong>Shop for a lender. <\/strong>Many mortgage lenders don\u2019t offer bridge loans, but some that do include CoreVest, Guild Mortgage and Knock.<\/li>\n<li>\n<strong>Understand your options. <\/strong>When you find a lender you like, contact a loan officer to learn about requirements and how their bridge loan program works \u2014 remember, not all lenders structure bridge loans the same way.<\/li>\n<\/ol>\n<h2 id=\"alternatives\" data-position=\"6\" data-beam-element-viewed=\"\" data-id=\"br-h2-6-onpage-placement\" data-type=\"h2\" data-location=\"Editorial\" data-name=\"h2_all\" data-text=\"Bridge loan alternatives\" data-outcome=\"\">Bridge loan alternatives<\/h2>\n<p>If you\u2019re concerned about taking out a bridge loan, consider one of these other options:<\/p>\n<ul class=\"wp-block-list\">\n<li>\n<strong>Home equity loan:<\/strong> If you know exactly how much you need to borrow for a down payment on your new home, a home equity loan might be a solution. You\u2019ll receive a lump sum, and you may repay it over as many as 20 or 30 years. Home equity loans also typically have more favorable interest rates than bridge loans.<\/li>\n<li>\n<strong>HELOC:<\/strong> A home equity line of credit (HELOC) is similar to a home equity loan in that it draws on the equity of your current home, but it functions like a credit card. You can take out money as needed, up to a certain limit. You\u2019re only charged interest if you access the line of credit. However, you may be ineligible for a HELOC on your current home if it\u2019s for sale.<\/li>\n<li>\n<strong>80\/10\/10 loan:<\/strong> With an 80\/10\/10 loan, also known as a piggyback loan, you put down 10% and receive two mortgages: the first for 80% of the purchase price and the second for 10%. You can use the smaller mortgage as a bridge loan alternative and then pay off the second mortgage when your current home sells.<\/li>\n<\/ul>\n<h2 id=\"faq\" data-position=\"7\" data-beam-element-viewed=\"\" data-id=\"br-h2-7-onpage-placement\" data-type=\"h2\" data-location=\"Editorial\" data-name=\"h2_all\" data-text=\"FAQ\" data-outcome=\"\">FAQ<\/h2>\n<ul class=\"Accordion w-full align\">\n<li x-id=\"['panel-what-are-bridge-loan-interest-rates', 'heading-what-are-bridge-loan-interest-rates']\" x-data=\"{ expanded: 0 }\" class=\"Accordion-item\">\n<button class=\"Accordion-titleContainer py-4 px-3 sm:px-6 group sm:py-6\" type=\"button\" :id=\"$id('heading-what-are-bridge-loan-interest-rates')\" :aria-controls=\"$id('panel-what-are-bridge-loan-interest-rates')\" :aria-expanded=\"expanded ? true : false\" x-on:click=\"expanded = !expanded\" :data-outcome=\"expanded ? 'open_accordion' : 'close_accordion'\"><!-- htmlmin:ignore --><\/p>\n<h3 class=\"Accordion-title my-0 mr-2 md:flex-1\">\n    What are bridge loan interest rates?\u00a0<br \/>\n    <\/h3>\n<p><!-- htmlmin:ignore --><span class=\"Accordion-icon Icon mb-0 block leading-none Icon--sm icon-base-blue-600\" aria-hidden=\"true\"><default:svg xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"Icon-glyph\" viewbox=\"0 0 24 24\" fill=\"currentColor\" focusable=\"false\"><default:title>Caret Down Icon<\/default:title><br \/>\n<default:path d=\"M12 17.152c-.33 0-.675-.131-.94-.378L3.384 9.09a1.32 1.32 0 0 1 0-1.86c.51-.51 1.351-.51 1.862 0L12 13.977l6.755-6.747c.51-.51 1.351-.51 1.862 0 .51.51.51 1.35 0 1.86l-7.694 7.684a1.295 1.295 0 0 1-.94.378H12Z\" class=\"icon-base\"\/><\/default:svg><\/span><\/button><\/p>\n<div class=\"Accordion-contentWrapper\" :id=\"$id('panel-what-are-bridge-loan-interest-rates')\" :aria-labelledby=\"$id('heading-what-are-bridge-loan-interest-rates')\" x-show=\"expanded\" x-collapse=\"\" role=\"region\" style=\"height: 0; overflow: hidden; display: none;\">\n<p>\n            The interest rates associated with bridge loans tend to be higher than those for traditional mortgages. They typically hover between the prime rate and the prime rate plus two percentage points.\n        <\/p>\n<\/div>\n<\/li>\n<li x-id=\"['panel-how-do-you-repay-a-bridge-loan', 'heading-how-do-you-repay-a-bridge-loan']\" x-data=\"{ expanded: 0 }\" class=\"Accordion-item\">\n<button class=\"Accordion-titleContainer py-4 px-3 sm:px-6 group sm:py-6\" type=\"button\" :id=\"$id('heading-how-do-you-repay-a-bridge-loan')\" :aria-controls=\"$id('panel-how-do-you-repay-a-bridge-loan')\" :aria-expanded=\"expanded ? true : false\" x-on:click=\"expanded = !expanded\" :data-outcome=\"expanded ? 'open_accordion' : 'close_accordion'\"><!-- htmlmin:ignore --><\/p>\n<h3 class=\"Accordion-title my-0 mr-2 md:flex-1\">\n    How do you repay a bridge loan?<br \/>\n    <\/h3>\n<p><!-- htmlmin:ignore --><span class=\"Accordion-icon Icon mb-0 block leading-none Icon--sm icon-base-blue-600\" aria-hidden=\"true\"><default:svg xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"Icon-glyph\" viewbox=\"0 0 24 24\" fill=\"currentColor\" focusable=\"false\"><default:title>Caret Down Icon<\/default:title><br \/>\n<default:path d=\"M12 17.152c-.33 0-.675-.131-.94-.378L3.384 9.09a1.32 1.32 0 0 1 0-1.86c.51-.51 1.351-.51 1.862 0L12 13.977l6.755-6.747c.51-.51 1.351-.51 1.862 0 .51.51.51 1.35 0 1.86l-7.694 7.684a1.295 1.295 0 0 1-.94.378H12Z\" class=\"icon-base\"\/><\/default:svg><\/span><\/button><\/p>\n<div class=\"Accordion-contentWrapper\" :id=\"$id('panel-how-do-you-repay-a-bridge-loan')\" :aria-labelledby=\"$id('heading-how-do-you-repay-a-bridge-loan')\" x-show=\"expanded\" x-collapse=\"\" role=\"region\" style=\"height: 0; overflow: hidden; display: none;\">\n<p>\n            A bridge loan can span anywhere from three months to three years, though some lenders might offer longer repayment timelines. There\u2019s usually a fixed deadline by which you must repay the entire loan amount. Typically, you\u2019ll pay interest-only installments initially, or no payments at all, then a final lump-sum payment due at term\u2019s end. Ideally, you\u2019d structure the loan so that you receive the proceeds from your home sale at the beginning of the repayment period.\n        <\/p>\n<\/div>\n<\/li>\n<li x-id=\"['panel-how-quickly-can-you-get-a-bridge-loan', 'heading-how-quickly-can-you-get-a-bridge-loan']\" x-data=\"{ expanded: 0 }\" class=\"Accordion-item\">\n<button class=\"Accordion-titleContainer py-4 px-3 sm:px-6 group sm:py-6\" type=\"button\" :id=\"$id('heading-how-quickly-can-you-get-a-bridge-loan')\" :aria-controls=\"$id('panel-how-quickly-can-you-get-a-bridge-loan')\" :aria-expanded=\"expanded ? true : false\" x-on:click=\"expanded = !expanded\" :data-outcome=\"expanded ? 'open_accordion' : 'close_accordion'\"><!-- htmlmin:ignore --><\/p>\n<h3 class=\"Accordion-title my-0 mr-2 md:flex-1\">\n    How quickly can you get a bridge loan?<br \/>\n    <\/h3>\n<p><!-- htmlmin:ignore --><span class=\"Accordion-icon Icon mb-0 block leading-none Icon--sm icon-base-blue-600\" aria-hidden=\"true\"><default:svg xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"Icon-glyph\" viewbox=\"0 0 24 24\" fill=\"currentColor\" focusable=\"false\"><default:title>Caret Down Icon<\/default:title><br \/>\n<default:path d=\"M12 17.152c-.33 0-.675-.131-.94-.378L3.384 9.09a1.32 1.32 0 0 1 0-1.86c.51-.51 1.351-.51 1.862 0L12 13.977l6.755-6.747c.51-.51 1.351-.51 1.862 0 .51.51.51 1.35 0 1.86l-7.694 7.684a1.295 1.295 0 0 1-.94.378H12Z\" class=\"icon-base\"\/><\/default:svg><\/span><\/button><\/p>\n<div class=\"Accordion-contentWrapper\" :id=\"$id('panel-how-quickly-can-you-get-a-bridge-loan')\" :aria-labelledby=\"$id('heading-how-quickly-can-you-get-a-bridge-loan')\" x-show=\"expanded\" x-collapse=\"\" role=\"region\" style=\"height: 0; overflow: hidden; display: none;\">\n<p>\n            While the funding timeline varies from lender to lender, some can provide loan proceeds in as little as two weeks.\n        <\/p>\n<\/div>\n<\/li>\n<\/ul>\n<p>\u00a0<em>\u2014Taylor Freitas contributed to this article.<\/em><\/p>\n<div class=\"HelpfulCTA mx-auto flex flex-col items-center gap-6 my-6 py-12 text-base border-y border-gray-200\" data-helpful-cta=\"\" data-beam-element-viewed=\"\" id=\"did-you-find-this-helpful\" data-type=\"cta\" data-location=\"article-bottom\" data-position=\"banner\" data-text=\"Did you find this page helpful?\">\n<div class=\"HelpfulCTA-initial w-full flex flex-col items-center gap-4\" data-cta-initial=\"\">\n<div class=\"HelpfulCTA-question text-lg font-bold text-center text-gray-900\">\n            Did you find this page helpful?<\/p>\n<div id=\"02lOviKsX2\" class=\"hidden\">\n<div class=\"wysiwyg wysiwyg--sm wysiwyg--flush max-w-xs\">\n<p class=\"mb-6 text-base\">\n                            <strong class=\"block font-bold text-gray-900\">Why we ask for feedback<\/strong><br \/>\n                            Your feedback helps us improve our content and services. 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Icon<\/default:title><default:path d=\"M13.165 2.175c.322 0 .57.022.774.065.796.161 1.43.624 1.85 1.345.71 1.216.722 3.067.023 5.499h.516c2.28 0 3.422 0 4.337.548a3.844 3.844 0 0 1 1.721 2.25c.29 1.032 0 2.13-.592 4.336l-.516 1.926c-.312 1.151-.484 1.786-.882 2.324a3.368 3.368 0 0 1-1.442 1.098c-.625.247-1.28.248-2.475.248l-.021.01h-4.595c-.42 0-.636 0-.84-.032a4.19 4.19 0 0 1-.635-.15c-.204-.065-.387-.162-.763-.355l-1.69-.856c-.014.034-.026.069-.043.102a2.334 2.334 0 0 1-1.044 1.044c-.495.247-1.012.248-1.948.248h-.161c-.936 0-1.453 0-1.947-.248a2.333 2.333 0 0 1-1.044-1.044C1.5 20.038 1.5 19.52 1.5 18.585v-7.683c0-.936 0-1.452.248-1.947A2.387 2.387 0 0 1 2.792 7.91c.494-.248 1.01-.247 1.947-.247h.16c.937 0 1.454 0 1.95.247.353.177.653.44.875.763.64-.606 1.788-2.184 3.31-5.142.183-.366.312-.603.538-.819.193-.193.462-.355.72-.441.302-.097.539-.097.873-.097ZM4.739 9.288c-.624 0-1.076 0-1.227.076a.721.721 0 0 0-.323.322c-.075.15-.075.603-.075 1.216v7.683c0 .624 0 1.076.075 1.227.065.14.183.248.323.323.151.075.603.075 1.227.075h.16c.625 0 1.078 0 1.228-.075a.722.722 0 0 0 .323-.323c.075-.15.075-.603.075-1.227v-7.683c0-.624 0-1.065-.075-1.227a.672.672 0 0 0-.323-.322c-.15-.075-.603-.076-1.227-.076h-.161v.01ZM13.057 3.8c-.14 0-.226 0-.259.011-.032 0-.086.043-.107.064a2.98 2.98 0 0 0-.226.399c-2.187 4.272-3.53 5.647-4.33 6.092.003.162.004.34.004.536v7.82l2.217 1.122c.28.14.42.216.56.27.107.032.214.064.332.075.151.021.314.021.626.021h4.594c1.022 0 1.539 0 1.862-.129a1.84 1.84 0 0 0 .763-.58c.215-.28.355-.808.613-1.765l.517-1.927c.495-1.85.775-2.873.603-3.475a2.309 2.309 0 0 0-1-1.313c-.538-.323-1.594-.323-3.51-.323h-1.129c-.226 0-.473 0-.72-.15a1.087 1.087 0 0 1-.464-.614c-.075-.301 0-.528.076-.754.957-2.97.603-4.26.301-4.777-.183-.312-.44-.506-.774-.57-.14-.033-.377-.033-.549-.033Z\" class=\"icon-base\"\/><\/default:svg><\/span> <span class=\"text-base leading-4\">Yes<\/span><br \/>\n            <\/button><br \/>\n            <button type=\"button\" 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href=\"https:\/\/www.bankrate.com\/mortgages\/bridge-loan\/\" target=\"_blank\" rel=\"noopener\" rel=\"nofollow\">here<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>DenisTangneyJr\/Getty Images Key takeaways Bridge loans are short-term loans that help cover costs during transitional periods, most often if you must buy a new home before selling your old one. Like a mortgage, your home may serve as collateral for a bridge loan. Some bridge loans allow you to pledge other assets instead. Many lenders<\/p>\n","protected":false},"author":1,"featured_media":23095,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[58],"tags":[],"class_list":{"0":"post-23094","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-homes"},"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v22.2 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>What Is A Bridge Loan And How Does It Work? | BudgetADirect<\/title>\n<meta name=\"description\" content=\"DenisTangneyJr\/Getty Images Key takeaways Bridge loans are short-term loans that help cover costs during transitional periods, most often if you must buy\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/budgetadirect.com\/?p=23094\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"What Is A Bridge Loan And How Does It Work? 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