What type of loan allows you to move from one property to another if your first house hasn't sold?

A bridge loan is a short-term financing option that allows homeowners to access funds for a new property before selling their existing one. This type of loan is specifically designed to "bridge" the gap between the sales of the current home and the purchase of a new one, enabling the buyer to make an offer on a new home without waiting for their current property to sell.

Bridge loans are typically secured by the equity in the existing home and are often used in competitive real estate markets where timing is essential. This financing is beneficial for homeowners who want to avoid the hassle of temporary housing while waiting for their home to sell or for buyers who happen to find their ideal property and need to act quickly.

Other options like swing loans and interim loans may have similar functions but are not as common or are often categorized under different terms or conditions in financing. Fixed-rate loans are not appropriate in this context, as they pertain to a standard loan type where the interest rate remains unchanged throughout the term, typically used for long-term financing rather than short-term needs while transitioning between properties.