The U.S. housing market remains a challenging place for buyers. With home prices near record highs, and inventories remaining well below normal levels, the imbalance of supply and demand translates to difficulties for homeowners looking to sell.
The common concern? Timing of the sale of their current property to purchase another one.
Navigating this tight market, characterized by quick sales but long purchases, is no easy feat. But what if there was a way that could alleviate these concerns, a solution that could give your clients an upper hand? Allow us to introduce you to our innovative approach – BOOST.
Now, what is BOOST?
LendSure’s BOOST (Bridge Option Offering Seamless Transition) loan program allows homeowners to focus on the purchase of a new property first, knowing that the search could take months.
The BOOST loan lets home sellers tap their equity so they can become buyers today – not when their home sells weeks or months from now. This helps set your clients apart from competing bidders, who must wait to sell their current homes first.
In addition to those well-known advantages, BOOST offers a new twist on Bridge loans. It’s a strategic approach for investors seeking to acquire a new investment property. It allows them time and equity to renovate their existing property for a more lucrative resale, serves as a financial bridge, and supports investors in smoothly transitioning out of one real estate investment and into their next deal.
BOOST loans let your clients shop as if they were cash buyers. Instead of waiting for the sale of their current home to close, buyers can use a Bridge loan to move quickly. Another advantage, the client is required to make no monthly payments on the Bridge loan for up to 12 months for owner-occupied properties and 6 months for investment properties.
How is a BOOST Loan used?
A BOOST loan is a short-term loan that is paired with the purchase mortgage on the buyer’s next property. Through LendSure’s BOOST program, the borrower taps the equity in their existing home by getting cash out to use as a down payment on the new home. The bridge financing loan also pays off the existing mortgage. This product is especially valuable in a competitive seller’s market. In general, it is not rare to see homes that stay on the market for more than a month, and that means buyers who can move quickly gain an important advantage.
The borrower can make an offer on their new home by using the cash-out proceeds from the BOOST loan as a down payment. We offer a variety of loan programs, including bank-statement loans for self-employed borrowers, DSCR loans, and non-warrantable condo loans.
Why should I consider a BOOST loan for my clients?
BOOST loans are available for up to $2 million for primary residences, and for up to $1 million on investment properties. When you partner with us, LendSure guides you through each step in the process. BOOST loans empower your borrowers to move fast on a desired property without waiting to close on the sale of their current home. It’s a compelling way for offers to stand out and be successful in today’s intensely competitive purchase market.
How Does It Work?
At LendSure, prequalification for BOOST loans can take as little as 24 hours, and full conditional approval is usually complete within 48-72 hours.
The borrower makes a one-time repayment due at the end of the loan term (up to 12 months for owner-occupied and 6 months for investment properties) or when the property sells, with interest accruing during the life of the loan.
Benefits of LendSure’s BOOST Loan:
- No monthly payments. A single payment is due at the end of the loan term or when the borrower sells their current property.
- Up to 12 months to sell owner-occupied departure property. Up to 6 months to sell investment property. Your client has time to sell their current home, so they can get the best selling price possible.
- Make a non-contingent offer on your client’s new property. Win in a hot purchase market by making a non-contingent offer! Opting for a Bridge loan could enhance the competitiveness of your client’s application.
- Your clients can access the equity from their current home or investment property to purchase their next one. The Bridge loan will pay off their existing mortgage AND provide cash out to purchase the new home.
The LendSure Way
It’s simple. We make loans that make sense. We’re not in-the-box lenders. Of course, there are numbers ratios, and data to consider, but we know that behind every file, there’s an individual with a unique circumstance seeking a loan. We work hard to offer our common-sense take on lending to borrowers seeking funding for the home of their dreams, another addition to their investment property portfolio, or refinancing of a currently-owned property.
Are you ready to benefit from a commonsense approach to lending? Contact us today to learn more about non-QM loans and how partnering with LendSure Mortgage Corp. can help grow your bottom line.
