Thinking about buying your next Murrysville home before your current one sells? You are not alone. Many Westmoreland County homeowners face this timing puzzle and worry about missing the right home or carrying two at once. In this guide, you will learn how bridge loans and home sale contingencies compare in Pennsylvania, what they cost, how they affect your offer, and which path fits your situation. Let’s dive in.
Bridge loan basics
A bridge loan is short-term financing that helps you buy a new home before selling your current one. It can be a standalone bridge product, a short-term second mortgage, or a temporary HELOC secured by your existing home. Most bridge loans are interest-only during the term and get paid off when your current home sells or at maturity.
Terms are usually short, often 6 to 12 months depending on the lender. Underwriting focuses on your equity, appraisal, credit, income and debt-to-income ratio. Some lenders require you to sell your current home within a set time.
Bridge loan costs and timing
Bridge loans usually carry higher interest rates than a standard first mortgage. Expect up-front costs such as origination, appraisal, title and other closing fees. You may also face carrying costs on two properties for a period, which can include interest on the bridge and your existing mortgage.
The process can add time since there is extra underwriting. Once approved, many lenders can close the bridge quickly relative to a traditional mortgage, especially if they offer this product often. Ask for written terms, including the annual percentage rate and all fees, so you can compare options.
Bridge loan risks to consider
The big risk is carrying two homes longer than expected if your current place does not sell quickly. That can strain cash flow and make refinancing harder. Some bridge loans have short maturities or balloon payments, which puts pressure on your sale timeline.
If your home does not sell before the bridge term ends, you may need to extend the loan or refinance, which can be costly. Plan ahead for a conservative timeline and keep a pricing strategy ready with your agent.
Home sale contingency basics
A home sale contingency is a clause in the purchase contract that says your obligation to close depends on selling your current home within a set period. Common versions include contingent on sale with a deadline or sale-and-settlement that requires your current home to close before you close on the new one.
Sellers often ask for a kick-out clause. This lets them keep marketing the home and accept another offer, then give you a short window to remove your contingency, usually within 24 to 72 hours. The contract will also spell out earnest money terms, timelines, and what happens if you cannot remove the contingency.
Contingency costs and timing
Contingencies usually have lower immediate financing costs since you do not take a second loan. The tradeoff is competitiveness. In strong seller markets, sellers often refuse contingencies or ask for short windows and stronger terms.
Typical contingency periods mirror expected marketing times. In a balanced market, 30 to 60 days is common, but your agent should tailor this to local days on market and seasonal patterns. The longer the window, the more likely a seller is to seek a kick-out clause or price concessions.
Contingency risks to consider
The main risk is losing a home you love if the seller rejects your contingency or triggers a kick-out. You may feel pressure to remove the contingency before your home is under contract. If your home takes longer to sell, you could face temporary housing needs or accept rushed pricing to meet your purchase deadline.
Contract remedies and outcomes depend on the exact language you agree to in Pennsylvania. A local real estate attorney can help draft and review contingency terms that match your goals.
Murrysville and Westmoreland market factors
Local conditions drive which path works best. In low-inventory neighborhoods or during busy spring and summer months, sellers in Murrysville may lean toward non-contingent offers that can close faster. In a more balanced market with longer days on market, a well-structured contingency can work.
Move-up buyers in the Franklin Regional area often seek more space with limited listings to pick from. That can make timing tricky. Availability of bridge products can vary, and local community banks or mortgage brokers sometimes offer short-term second liens or HELOCs when national lenders do not. Get written pre-commitments so you know what is truly available before you write an offer.
Bridge loan vs contingency: a quick checklist
Use these questions to choose the right path:
- Market competitiveness and timing
- Low inventory and fast sales favor a bridge loan or other non-contingent financing.
- Longer days on market make a contingency more realistic.
- Financial capacity and risk tolerance
- If you can carry two payments for several months, a bridge loan can work.
- If that would strain your budget, a contingency or alternative is safer.
- Equity and loan-to-value
- More equity increases your odds of qualifying for a bridge or second lien.
- Low equity reduces bridge options and raises lender scrutiny.
- Lender appetite and documentation
- For a non-contingent plan, secure a standard pre-approval and a written bridge or HELOC commitment before you offer.
- For a contingency, set clear timelines and consider seller-friendly terms to help your offer stand out.
- Personal timing and flexibility
- If a fast move is essential for work or school timing, prioritize non-contingent solutions.
- If you can be flexible, a contingency lowers the risk of double carrying.
- Alternatives to consider
- HELOC or home equity loan for a down payment.
- Rent-back after you sell so you have time to buy.
- Same-day or tightly coordinated closings with both sides.
- A sale-and-settlement contingency for maximum buyer protection, with the tradeoff of weaker competitiveness.
Ways to make your offer stronger in PA
- Get a full pre-approval and, if using a bridge or HELOC, a written commitment from your lender. Sellers and listing agents want to see proof that you can close.
- If writing a contingent offer, include specific milestones and a realistic timeline based on local days on market. Consider a kick-out clause you can live with, and set clear notice periods and deadlines.
- Show you are serious: offer strong earnest money and be flexible on inspections and closing dates when appropriate. Ask your agent about a rent-back if that helps a seller say yes.
- If buying non-contingent, prep your current home for market early. Professional photos, pricing strategy, and launch timing can help reduce your bridge period.
Example timelines that work locally
Bridge path example
- Week 1 to 2: Pre-approval and written bridge commitment. Prep your current home for listing.
- Week 3: Make a non-contingent offer on the new home. Go under contract.
- Week 4 to 6: List your current home with a pricing plan tied to local comps. Aim to secure a buyer quickly.
- Week 6 to 8: Close on the new home using your bridge or second lien. Pay off the bridge when your current home closes.
Contingency path example
- Week 1: List your current home with launch marketing. Begin showings.
- Week 2 to 4: Accept an offer on your current home. Set closing timeline that aligns with your purchase.
- Week 3 to 5: Make an offer on the new home with a sale-and-settlement contingency. Coordinate dates.
- Week 6 to 8: Close both transactions, ideally on the same day or with a short gap and a rent-back if needed.
How the right team helps in Westmoreland
You want fast data, coordinated timelines, and strong negotiation. A high-volume local team can track new listings in real time, advise on days on market by neighborhood, and shape contract terms that match local custom. When you consider a bridge or a contingency, you also need introductions to lenders that actively offer short-term solutions in our area.
With neighborhood and school-district expertise, MLS-first technology, and proven processes, our team helps you line up financing, craft a winning offer, and launch your current home for maximum exposure. The goal is simple. You get the home you want in Murrysville with less stress and fewer surprises.
Ready to map out the best path for your move-up plan in Murrysville or anywhere in Westmoreland County? Reach out to the local experts at Adam Slivka and Team to get a step-by-step plan that fits your budget, timeline, and goals.
FAQs
Will sellers in Murrysville accept a contingency?
- It depends on market conditions and the property. In tighter markets with low inventory, sellers are less likely to accept contingencies unless the terms are very strong.
How long should a sale contingency be in PA?
- Many buyers use 30 to 60 days, then adjust based on local days on market and seasonality. Your agent can set a realistic window for current conditions.
How much do bridge loans cost compared to mortgages?
- Bridge loans usually have higher interest rates than first mortgages, plus up-front fees. Ask lenders for written quotes that show APR and all costs.
What happens if my bridge loan term expires before I sell?
- You may need to refinance, seek an extension, or adjust your sale strategy to sell faster. This is a key risk to weigh before choosing bridge financing.
Are there alternatives to a bridge or contingency?
- Yes. Consider a HELOC or home equity loan for the down payment, a rent-back after you sell, or tightly coordinated same-day closings to reduce risk.
How can I make a contingent offer more competitive?
- Use a realistic timeline, offer strong earnest money, and be flexible on clean terms. Be ready for a kick-out clause and respond quickly if the seller receives another offer.
