What kinda loan is that?
It’s a loan that covers you when the sale of your old home doesn’t quite marry up with the purchase of your new one. So instead of taking out a second loan for the new home you simply stay where you are and use the equity in your existing loan to finance it instead. Love it!
So, you can live in your current home until your new home is finished?
Great, what are some of the benefits?
There’s heaps, like:
You get to live in your current home until building is complete.
You don’t have to worry about the cost of finding short term rental accommodation.
You don’t have to disturb your family.
You're not paying rent unnecessarily.
You only have to move once, not twice or three times.
You have more time to sell your existing property.
You only pay one mortgage until your new home is built.