Buying and selling property is both an exciting and stressful time. When you sell your property, there is usually a 12 week lag between the offer to purchase being signed and your property transferring to the new owners. This can sometimes be even longer depending on the deeds office and whether there are delays with the purchasers paying deposits and fees on time.
Only once the property transfer has gone through, do you as the seller receive your property sale proceeds. The sale proceeds are calculated as follows:
Purchase price less estate agent’s commission less amount outstanding on your bond = sale proceeds
That final amount will be paid to you upon transfer. But what happens when you need to make an offer on your new home and are still waiting for the transfer to go through on your sale? You can apply for a property bridging loan to get a portion of the sale proceeds in advance in order to put down a deposit on your new home.
A property bridging loan can unlock up to 85% of your sale proceeds prior to transfer of the property to the new owners. This property seller finance allows you to:
- secure your dream home
- pay for renovations
- pay for the attorney fees, transfer fees and rates/levies advances due on the transfer of your new property
- put towards moving costs.
Sound like a product you need? Apply now and get quick feedback from our loan providers. Please ensure you supply the relevant supporting documentation as soon as possible to speed up the process of receiving your property seller finance.