Buy with 5% down without liquidating investments
Equity for Down Payment
Alex needed to move quickly ahead of a new baby, but didn't want to liquidate his stock portfolio to afford the down payment. Flyhomes Equity for Down Payment combined his income, home equity, and investments for preapproval, letting him buy with just 5% down.
• Borrower: Bought a $1M home with 5% down, keeping investments intact
• Loan officer: Closed a high-value deal by structuring a pre-approval around income, equity, and stocks
together
• Agent: Wrote a clean, non-contingent offer that was competitive from the start
State:
California
New Home:
$1,000,000
Current Home Value:
$900,000
Financial Produce Used:
Flyhomes Cash Offer $950,000
Challenge
Alex was expecting a new family member and needed to move quickly. Despite having a stable tech job and significant assets in stocks, he preferred not to liquidate them.
Solution
By leveraging Flyhomes Buy Before You Sell with Equity for Down Payment, Alex leveraged his income, home equity, and stock portfolio for pre-approval, allowing him to purchase his new home with just a 5% down payment without selling his investments.
For borrowers
- Purchased a $1M home with just 5% down without liquidating stocks or retirement savings
- Kept investments intact and working, avoiding tax consequences or market timing risk from a forced sale
- Moved quickly into a larger home, without waiting on the sale of the current home
For loan officers
- Closed a high-value deal for a well-qualified borrower who would have otherwise gone to a lender with a more flexible asset strategy
- Leveraged income, equity, and stock portfolio together to structure a pre-approval that worked on the borrower's terms
- Delivered a sophisticated solution that matched the client's financial priorities
For agents
- Helped a motivated, asset-rich buyer move quickly without the delays of liquidating investments or waiting on a sale
- Wrote a clean, non-contingent offer on a $1M home that was competitive from the start
- Delivered a fast, frictionless transaction for a client on a tight timeline ahead of a new family member arriving
FAQ's
What if the buyer's old home doesn't sell within 180 days?
Flyhomes will buy it at the contract price and resell it. The buyer keeps any net profits* from the resale, and by default the original listing agent handles it — so the listing stays with you.†
Where are Flyhomes Buy Before You Sell programs available?
Flyhomes Buy Before You Sell programs are available in many states across the U.S., with availability varying by solution and location. The Guaranteed Backup Contract is available in all 50 states, while loan-based products depend on Flyhomes’ lending coverage. Loan officers can check specific availability using the product availability page or by contacting their Flyhomes representative.
Can I use all of my home equity for a down payment?
Not usually. Lenders typically require you to leave some equity in your home, and borrowing limits depend on factors like your loan-to-value ratio, credit, and debt-to-income.
Are there monthly payments on a bridge loan?
It depends on the lender and loan type. Some bridge loans require monthly interest payments during the loan term. Others, including some Flyhomes Buy Before You Sell solutions, defer payments until the home sells and the loan is repaid.
How is Flyhomes different from a traditional bridge loan or HELOC?
Traditional bridge loans and HELOCs are typically based on a borrower’s current financial picture, including existing debt and the equity in their current home, which can limit flexibility. Flyhomes Buy Before You Sell takes a more forward-looking approach by factoring in the expected sale of the current home, which can help unlock more buying power and make it easier to move on to the next home.
Unlike traditional options, Flyhomes doesn’t require monthly payments during the transition period. Instead, interest simply accrues and is paid off once the original home sells, ensuring borrowers don’t have to juggle extra monthly payments during the move.
.avif)