Residential Bridging Loan

27th Sep, 2021 | Branch News 28th September 2021

In this article:
New case study from La Trobe Financial.

After the arrival of Cameron and Kelly’s second child, the thought of a move to the coast seemed, at first, unachievable. Selling and buying houses, settlement dates, appointments with real estate agents, removalists, all on top of interrupted sleep.

 When discussing a Bridging Loan with their local mortgage broker, Cameron and Kelly’s dream of a home on the Surf Coast appeared closer – and easier – than ever.

 A valuation on each property was obtained showing the current owner-occupied property (Knox, VIC) to be valued at $1,150,000, and the property to be purchased in Torquay, VIC valued at $720,000.

 Maintaining an LVR of under 75% of the value of the combined security value, an interest budget for 12 months was included within the loan amount to cover monthly repayments during the bridging period. This allowed Cameron and Kelly to move into their new property prior to placing their current property on the market.