Buy before you sell in Arizona — without iBuyer program fees
National iBuyer-style move-up programs all solve the same problem with the same playbook: charge you a program fee on top of a traditional mortgage. There's another way. Bridge loans and HELOCs have been doing this for 40 years. They cost less.
Why the iBuyer programs cost more
These national third-party programs each operate a variation of the same model. They guarantee to buy your current home if you can't sell it within their window. To make that guarantee economically rational, they charge a program fee on top of normal mortgage costs.
Then they finance your new home with a traditional mortgage from one of their lender partners. So you pay normal mortgage fees plus the program fee — a meaningful cost you wouldn't carry with a direct bridge structure.
Bridge loan structure (Mike's preferred for AZ)
A bridge loan is a short-term first or second mortgage against your current home, structured to be paid off when the current home sells. Cornerstone's bridge product runs 6 to 12 months, interest-only, with no prepayment penalty.
Bridge loan cost for an Arizona move-up scenario depends on bridge size, term, and your file profile. Origination, interest, and total cost are quoted after we review your specific equity and timeline.
Cheaper than a third-party iBuyer program for any buyer whose home will sell in under 6 months. Most do.
HELOC structure (cheapest for high-equity sellers)
If you have substantial equity in your current home and good credit, a HELOC drawn against the existing property is the cheapest bridge path. Most banks issue HELOCs with low or zero origination, and the rate is tied to Prime plus a margin set by the bank.
Draw the HELOC for the down payment. Use it as cash to make a non-contingent offer on the new home. Pay off the HELOC at the current home's sale closing. HELOC cost depends on the size of the draw and how long it sits before payoff. For most short-cycle bridge uses, HELOC carries the lowest total cost when eligibility fits.
Side-by-side cost comparison
| Approach | Title impact | Time to close | Typical cost structure |
|---|---|---|---|
| iBuyer programs (national third-party platforms) | Title tied to corporate buy-back guarantee | 30–45 days | Program fee on top of normal mortgage fees |
| Direct bridge loan | Lien on current home only | 21–28 days | Origination + interest, scoped to file |
| HELOC on current home | Lien on current home only | 14–21 days | Usually lowest-cost option when eligibility fits |
| Sell first, rent, then buy | No bridge financing | 60–90+ days | Moving + interim rent |
Common questions
Why doesn't every lender offer bridge loans?
Bridge loans are short-term and require manual underwriting. Many lenders avoid them because they don't fit standard agency guidelines. Cornerstone keeps bridge in our product set because Phoenix-area sellers need it constantly.
What if my current home doesn't sell within 6 months?
We extend the bridge or refinance it into a longer-term loan against the current home. We've never had a bridge loan that we couldn't resolve before forced sale, most homes in the Phoenix metro sell well within 90 days.
Can I use a HELOC if my current home is already listed?
Most HELOC lenders won't fund if the home is on the market. Get the HELOC first, then list. We coach this timing carefully.
Do bridge loans require a non-contingent offer?
Not technically, but the whole point of bridge financing is to make non-contingent offers. Otherwise you can just write a contingent offer and skip the bridge entirely. The bridge buys you the seller's confidence that no home-sale contingency will torpedo the deal.
How Mike + Cornerstone help
I structure bridge and HELOC scenarios constantly for Phoenix-metro move-up buyers. I'll tell you which path actually saves you money for your equity position, sale timeline, and target purchase. If sell-first-then-buy is genuinely cheaper than bridging, I'll tell you that too.
Talk to Mike first Get pre-approved
No pressure, no commitment. Free 20-minute consult. Mike will look at your scenario and tell you straight whether this works for you.