DETROIT–The nation’s largest mortgage lender, Rocket Mortgage, has introduced a new bridge loan product it said is aimed at helping homeowners buy a new home before selling their current one.

The product offers a “competitive edge in today’s ultra-competitive and expensive housing market,” according to the company.

“Relocating is like trying to conduct a symphony in the middle of a thunderstorm — every piece has to come in on cue, but chaos is constantly crashing in,” Rocket Mortgage said in announcing the new offering. “Selling an existing house and buying a new one is hard enough to balance, but movers might also need to find a new job or enroll their kids in a new school. It’s a delicate balancing act with high emotional stakes, where one disruption — a delayed sale, a job that starts too soon, a school that’s already full — can derail the entire plan.”

Help in Hot Markets

Rocket said the new bridge loan will allow borrowers to tap into home equity to cover down payments or closing costs on their new home, which will enable buyers to make non-contingent offers, which it said is an advantage in hot housing markets.

Rocket said the bridge loan offers up to six months to sell the existing home, with interest-only payments during that period. 

How to Qualify

To qualify:

• The property must be listed for sale, under contract with a real estate agent, or have a guaranteed buyout agreement in place. 
• Borrowers must also be using Rocket Mortgage for their new purchase loan.