Bridge Financing & Mortgage Portability

Bridge financing is short-term financing that can help cover the gap when you purchase a new home before receiving sale proceeds from your existing home. It generally requires firm sale and purchase agreements and lender approval.

Bridge periods are usually short and lender-specific. The lender will confirm the maximum term, cost and documentation based on the closing dates.

Porting allows an eligible borrower to transfer an existing mortgage rate and terms to a new property, subject to lender approval and the mortgage contract. Some lenders also allow a blend-and-increase when additional funds are needed.

Not necessarily. Portability rules, timing windows, additional borrowing rates, penalties and the new property's qualification all matter. I compare the cost of porting with other financing choices.