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Buy Before You Sell in Colorado: How a Bridge Loan Works
Updated October 2026. The cash-offer program this page described earlier is no longer one we offer. This guide covers what Colorado homeowners use today to buy the next home before the current one sells.
What is Rate Bridge?
Rate Bridge is a bridge loan from Rate (Guaranteed Rate, Inc.). Rate's Rate Bridge page says it lets a homeowner borrow up to 85% of the equity in the current home to buy the next one, with no payment due for 4 months, funding the day you close on the new home, and a fixed rate. Because the money for the new home does not wait on the old one selling, you can write an offer without a home-sale contingency.
Many of our buyers use Mike Oswald at Rate and trust him. You are free to use any lender you choose, and the Kenna Real Estate Group receives nothing for the introduction. Mike Oswald, NMLS 261003 · Rate, Inc., NMLS 2611 · Equal Housing Lender.
Rate's page also says applicants are subject to credit and underwriting approval and that not all applicants will be approved. The page does not list every term or state, so ask Mike Oswald at Rate whether Rate Bridge is available for your Colorado home and what it costs before you plan around it.
How a buy-before-you-sell move works with a bridge loan
- Check the equity. The lender reviews your current home's value and loan balance to see how much equity the bridge loan can use.
- Get approved for both pieces. The bridge loan and the new mortgage are approved together, so you know the numbers before you shop.
- Write a non-contingent offer. The seller sees an offer that does not depend on your sale.
- Close, move, then list. The bridge loan funds at the new closing. You move once, sell the old home, and pay off the bridge loan from the sale.
Ready to find your dream home in Colorado?
Let us help you. Call or Text Kenna Real Estate Group at 303-955-4220 to get personalized assistance from our expert real estate agents. Find out what your home is worth in today's market.
Other ways to buy before you sell
- Home sale contingency. The Colorado purchase contract lets you make the purchase depend on selling your current home. It costs nothing, but sellers with several offers often pick one without it.
- A HELOC opened before you list. A home equity line on the current home can cover the down payment. Open it before listing; lenders generally will not open one on a home that is for sale.
- Qualify for both payments. If your income carries both mortgages for a few months, you can buy first with a standard loan.
- Sell first with a rent-back. Sell, then rent your old home back from the buyer for a short period while you close on the next one.
Questions Colorado homeowners ask
Who qualifies for Rate Bridge?
Rate decides, based on credit and underwriting approval and the equity in your current home. Mike Oswald at Rate can tell you whether your file fits.
How long can I carry a bridge loan?
Rate's page says no payment is due for the first 4 months; it does not post the full term. Ask for the term, rate and fees in writing.
Is a bridge loan better than a contingent offer?
It depends on the home you want. When a seller has several offers, an offer without a sale contingency usually wins. When a home has been on the market a while, a contingent offer can work and costs nothing.
