What you need to know: If you want to buy your next home before selling your current one, you have three main options: a traditional bridge loan ($30,000-$60,000+ in fees and interest), a HELOC ($5,000-$15,000 in interest over 6 months), or our EasyPath program ($2,500 flat with 0% interest). We’ll walk you through how each option works so you can choose what fits your situation.
The Problem You’re Solving
When you own a home and want to buy another, you run into two roadblocks:
Roadblock 1: The Qualification Problem
Most buyers can’t qualify for two mortgages at once. Your existing mortgage payment counts against your debt-to-income ratio (DTI), which often pushes you past lender limits.
Here’s an example: Say you earn $15,000/month and your current mortgage is $3,500. With that existing payment, your DTI is already at 23% before adding anything else. Add car payments, credit cards, and a new mortgage at $5,000/month, and you’re suddenly at 60%+ DTI. Most conventional loans cap at 43-50%.
Roadblock 2: The Down Payment Problem
Your equity is locked in your current home. You might have $200,000 in equity but no way to access it until you sell.
Different solutions address different problems. Here’s how each option works.
Option 1: Traditional Bridge Loan
What it is: A short-term loan (typically 6-12 months) that uses your home equity as collateral. You receive cash to use for your down payment or to pay both mortgages during the transition.
How it works:
- You apply with a bridge lender
- They appraise your home and verify your equity
- You receive funds (typically up to 80% of your equity)
- You make interest-only payments until you sell
- When you sell, you repay the bridge loan from proceeds
Typical costs for a $200,000 bridge loan over 6 months:
| Cost Component | Amount |
|---|---|
| Origination fee (2%) | $4,000 |
| Interest (10% for 6 months) | $10,000 |
| Appraisal, title, closing | $2,500 |
| Total | $16,500 |
Option 2: Home Equity Line of Credit (HELOC)
What it is: A revolving credit line against your home’s equity. Unlike a bridge loan, you can draw funds as needed and only pay interest on what you use.
How it works:
- You apply and get approved for a credit limit (typically up to 80% of equity)
- You draw funds as needed for down payment
- You make interest-only payments on the balance
- When you sell your home, you pay off the HELOC
Typical costs for $100,000 HELOC draw over 6 months:
| Cost Component | Amount |
|---|---|
| Origination/annual fee | $0-500 |
| Interest (8.5% for 6 months) | $4,250 |
| Closing costs | $0-2,000 |
| Total | $4,250-$6,750 |
The catch: A HELOC gives you cash but doesn’t help with qualification. Your existing mortgage plus the HELOC payment both count against your DTI. If qualification is your main problem, a HELOC alone won’t solve it.
Option 3: JVM EasyPath
What it is: A guaranteed purchase contract that allows your existing mortgage to be excluded from DTI calculations. An investor agrees to buy your home within 180 days, which lets lenders treat your current payment as if it doesn’t exist.
How it works:
- You apply and we verify your equity (25% minimum)
- An investor signs a binding contract to purchase your home
- This contract lets us exclude your current mortgage from DTI
- You qualify for your new home and close
- You sell your current home on the open market (180-day window)
- If your home doesn’t sell, the investor purchases at the agreed price
Costs:
| Component | Amount |
|---|---|
| Program fee | $2,500 flat |
| Interest | $0 |
| Monthly payments during transition | $0 |
| Total | $2,500 |
Side-by-Side Cost Comparison
For a homeowner with a $750,000 home, $375,000 existing mortgage, and 6-month selling timeline:
| Factor | Bridge Loan | HELOC | EasyPath |
|---|---|---|---|
| Upfront fees | $4,000-8,000 | $0-2,000 | $2,500 |
| Interest rate | 10-12% | 8-10% | 0% |
| Monthly interest (6 mo.) | $3,750-5,000/mo | $850-1,250/mo | $0 |
| Total 6-month cost | $26,500-38,000 | $7,100-9,500 | $2,500 |
| Solves DTI problem? | Sometimes | No | Yes |
| Provides cash for down payment? | Yes | Yes | No (pair with HELOC) |
| Time to close | 2-4 weeks | 2-4 weeks | As fast as 14 days |
View mortgage rates for
February 15, 2026
Which Option Fits Your Situation?
Start with EasyPath if:
- You can’t qualify for two mortgages (DTI is the roadblock)
- You have 25%+ equity
- You have down payment funds available or can open a HELOC
Start with a HELOC if:
- You can qualify for both mortgages
- You just need access to equity for down payment
- You have time to set up the line before you need it
Consider a bridge loan if:
- You need significant cash and can’t get a HELOC
- Your situation doesn’t fit other programs
- You understand and accept the higher costs
Combine EasyPath + HELOC if:
- You need to solve the DTI problem AND access equity for down payment
- This combination often costs $5,000-$10,000 total vs. $30,000+ for a bridge loan alone
The DTI Problem Explained
Here’s why qualification is often the bigger issue:
Example scenario:
- Household income: $180,000/year ($15,000/month)
- Current mortgage: $3,500/month
- Car payment: $600/month
- Credit cards: $400/month minimum
- New home mortgage: $5,000/month
DTI calculation without EasyPath: Total monthly debt: $9,500. DTI: 63% (most lenders cap at 43-50%). Result: You don’t qualify for the new mortgage.
DTI calculation with EasyPath: Total monthly debt: $6,000 (current mortgage excluded). DTI: 40%. Result: You qualify.
The EasyPath guaranteed purchase contract lets the lender remove your existing mortgage from the equation. That’s often all you need to unlock the purchase.
What To Do Next
If you’re trying to figure out the best path for buying before selling, we can look at your specific numbers and timeline. We’ll outline your options, walk through the costs, and help you choose the structure that fits your situation.
Call or text us at (855) 855-4491 to start a conversation.
