Bridge Loan Calculator
Bridge Loan Cost
Calculate the cost of bridge financing
$
%
Formula
Monthly interest = Loan x (Rate / 12). Total cost = Interest + Origination fee
Frequently Asked Questions
What is a bridge loan?
A bridge loan is short-term financing that bridges the gap between buying a new home and selling your current one. It uses your current home equity as collateral and typically lasts 6-12 months.
Are bridge loans expensive?
Yes, bridge loans have higher interest rates (typically 8-12%) and origination fees (1-3%). They are designed as temporary solutions and should be repaid quickly when your existing home sells.
What are alternatives to bridge loans?
Alternatives include HELOCs, home equity loans, 401(k) loans, contingent offers, or selling your current home before buying. Each has trade-offs in cost, speed, and risk.
You may also need
$
Mortgage Calculator
Free mortgage calculator. Estimate monthly mortgage payments, total interest, and amortization for your home loan. Compare different rates and terms.
Finance$
Hard Money Loan Calculator
Free hard money loan calculator. Estimate monthly interest payments, points, fees, and total cost for asset-based hard money loans used in real estate investing.
Finance