Sellers options for getting into new home

Sellers in our market are often faced with a challenge: Our market rewards sellers who move out of their homes and market them vacant and staged, often with six figure sale price increases. The question we are often faced with is, where are the sellers going to live when they are in between homes? Some are able to purchase a home without selling, but many are not able to do that in our high priced market. Temporary rentals work for those who are OK with moving twice and taking on that expense (it’s often worth it given what they stand to gain by marketing their house vacant and staged). But another option is to use a “bridge loan” which is a short term loan that allows sellers to borrow against the equity in their current home in order to purchase a new home, then sell their old home and use the proceeds to pay off the bridge loan. It is complex, there are risks and costs involved, but for many, it proves to be a better way to go than moving out.