I wanted to reach out to you all because I know some of you are sitting on equity in your home, you need a bigger home or a different home but you are concerned about being left homeless.
There are options out there, they mean perhaps paying a little more in interest but they can give you the opportunity to use that equity to get what you need in a home without being left on the street while you try and buy.
I partnered with KNOCK as one of their agents and this means as usual I would work with you as your listing and buyers agent, you would use KNOCK as your lender and they would use your equity as leverage to lend you the money to go buy a home first then put your home on the market once you have closed on your new home.
Here are some of the key things to know!!
- Credit Score – Must be 620 above
- Equity – You must have at least 30%
- Home – Your home must be in decent/sellable condition and must not back or front up to a busy road (think Colorado or 120th or I-25).
- Fees – They charge a convenience fee (also part of your loan origination fee) of 1.25%. There is no bridge loan interest and no origination fee. You will pay standard closing costs and underwriting fees like you would with any lender. The convenience and lender fees will be rolled into your new mortgage.
- Rates – Seem to be competitive with your average Colorado lender.
- Can’t Sell Your Home – If for some insane reason your home didn’t sell in 6 months, knock make you a below market value offer you could accept. (We would do everything in our power to not have that happen!)
- Sale of Your Home – Once you have closed on your new home you can move in and then get your current home on the market. You won’t have to live through showings.
- Mortage- You will only be paying one mortgage at a time! Knock can defer mortgage payments and because the market is so hot we will get your home sold quickly so you won’t have to worry about carrying 2 mortgage payments.
- Prepping Your Current Home – If there is work that needs to be done to sell your current home, Knock lends up to $25,000 to be paid back from the funds of your current home at closing.
This program is not for everyone but for some it has been a great opportunity to do something they thought they wouldn’t/couldn’t do in this market.
Got more questions? Ask away!!! Want to see if you qualify for the program, I will send you the application and we can go from there.