What you need to know: California’s high home values make buying before selling both more valuable and more expensive. Our EasyPath program costs $2,500 flat regardless of home value, while percentage-based alternatives can run $25,000-$50,000+ for a typical Bay Area or LA home. We’ll walk you through how this works in California’s specific market conditions.

Why California Is Different

California homeowners face unique challenges when buying before selling:

  • Higher stakes. The median home price in the Bay Area exceeds $1.2 million. In LA County, it’s over $850,000. Percentage-based fees on these values add up fast.
  • Faster competition. Desirable California properties often receive multiple offers within days. Contingent offers rarely win.
  • Larger equity positions. Many California homeowners have accumulated significant equity through appreciation, giving them more options for buy-before-sell programs.
  • Higher monthly payments. California mortgages are larger, which means DTI problems are more common and more severe.

The California Cost Problem

Most buy-before-sell programs charge a percentage of your home’s value. Here’s what that means for California homeowners:

Bay Area Example: $1.5 Million Home

ProgramFee StructureTotal Cost
EasyPath$3,500 flat*$3,500
Homeward (2.5%)2.5% of value$37,500
Homeward (3.5%)3.5% of value$52,500
Traditional Bridge (10%, 6 mo.)Origination + interest$75,000+

*EasyPath fee is $3,500 for homes valued over $1.3M

 

LA Example: $950,000 Home

ProgramFee StructureTotal Cost
EasyPath$2,500 flat$2,500
Homeward (2.5%)2.5% of value$23,750
Homeward (3.5%)3.5% of value$33,250
Traditional Bridge (10%, 6 mo.)Origination + interest$47,500+

The flat-fee structure matters most in expensive markets. A $3,500 fee on a $1.5 million home is 0.23%. A 2.5% fee on the same home is 10x more expensive.

Bay Area Specific Considerations

San Francisco, Peninsula, and South Bay

Market reality:

Inventory remains tight. Well-priced homes in good school districts often sell within two weeks. If you list your current home contingent on finding something new, you risk selling before you secure your purchase.

How EasyPath helps:

Buy your new home first, then list your current home from a position of strength. No desperate selling. No accepting below-market offers because you’re running out of time.

Common scenario:

A family in Sunnyvale owns a $1.4 million townhome and wants to move to a $1.8 million single-family home in Los Gatos for the schools. Traditional approach would require either selling first (risking homelessness in a tight market) or making a contingent offer (likely losing to cash buyers). EasyPath lets them make a clean offer while giving them 180 days to sell their townhome.

East Bay

Market reality:

More inventory than the Peninsula but still competitive for desirable neighborhoods like Walnut Creek, Lafayette, and Piedmont.

Common scenario:

Empty nesters in Orinda own a $1.6 million home outright and want to downsize to a $950,000 condo in Walnut Creek. They don’t have DTI issues (no mortgage) but need access to equity for the cash purchase. A HELOC or bridge loan works here. If they did have a mortgage, EasyPath would solve the qualification problem.

View mortgage rates for February 15, 2026

Los Angeles Specific Considerations

Westside and Beach Cities

Market reality:

Santa Monica, Manhattan Beach, Hermosa, and surrounding areas command premium prices with limited inventory.

Common scenario:

A family renting in Mar Vista finally has enough saved for a down payment on a $1.1 million home in Culver City. But they’re selling their first home (a $750,000 condo in Palms) to fund the larger down payment. EasyPath lets them lock in the Culver City home before selling the condo.

San Fernando Valley

Market reality:

More affordable than the Westside but prices have appreciated significantly. Good school districts like Calabasas, Agoura Hills, and parts of Woodland Hills are competitive.

Common scenario:

A growing family in Sherman Oaks owns a $800,000 home with a $500,000 mortgage. They want a larger home in Encino for $1.1 million. DTI won’t work with both mortgages. EasyPath excludes the current mortgage, unlocking qualification for the new purchase.

California Jumbo Loan Considerations

Most California purchases involve jumbo or “high balance” loans (anything over $832,750) in high-cost areas, though limits vary by county). This creates additional considerations:

  • Stricter DTI requirements. Jumbo loans often cap DTI at 43% vs. 50% for conforming loans. The DTI exclusion becomes even more valuable.
  • Larger equity requirements. Jumbo loans typically require 10-20% down. California buyers often need to tap equity from their current home to meet these requirements.
  • EasyPath + HELOC combination. For California buyers who need both DTI exclusion AND equity access, combining EasyPath with a HELOC often costs less than alternatives.

Example: Combining EasyPath + HELOC

Situation: $1.3 million current home, $700,000 mortgage, purchasing $1.6 million new home

Need: DTI exclusion + $150,000 from equity for down payment

ApproachCost (6-month timeline)
Traditional bridge loan$40,000-$55,000
EasyPath ($2,500) + HELOC ($6,375 interest)$8,875

The combination saves $30,000-$45,000 compared to a bridge loan.

California-Specific Tax Considerations

Prop 13 implications:

California homeowners with long-term ownership benefit from Prop 13’s assessment limits. When buying a new home, your property taxes reset to current market value. This is worth factoring into your monthly payment calculations.

Prop 19 for 55+ buyers:

Homeowners 55+ can transfer their Prop 13 tax base to a new home anywhere in California. This can significantly reduce the tax increase on your new purchase. If this applies to you, mention it when we run your numbers.

Capital gains considerations:

Federal law excludes up to $500,000 in capital gains (married filing jointly) from taxes on primary residence sales. Most California homeowners fall within this exclusion, but if you’ve owned for decades or have a very high-appreciation property, consult a tax professional.

What to Do Next

California’s high values make the math more significant. The difference between a $3,500 flat fee and a $35,000 percentage-based fee is enough to upgrade your next home’s kitchen.

If you’re considering buying before selling in California, we can run your specific numbers. We’ll look at your current equity, target purchase price, and timeline, then outline your options.

Call or text us at (855) 855-4491 to start a conversation.

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