When the Perfect Property Shows Up Before You’re Ready to Sell: What Are Your Options?

You weren’t planning to move… but then the right property shows up. Maybe it’s the perfect size, an ideal location, or just one of those rare Maui finds that doesn’t come around often. You can picture your next chapter there, but there’s just one problem—your current home hasn’t sold. Maybe it’s not even listed yet.

So what do you do when the opportunity is too good to pass up, but your equity is still tied up?

There are a few creative options worth exploring—each with pros, limitations, and a bit of strategic timing.

1. Home Equity Line of Credit (HELOC)

A HELOC lets you borrow against the equity in your current home. It can provide the cash for a down payment—or even the entire purchase—but the key is timing:

• ✅ You must open the HELOC before listing your property.

• ❌ Most lenders won’t issue a HELOC if your home is already for sale.

Already have one? You may still be able to draw on it, though some banks freeze access once the property is actively listed or under contract.

HELOCs work well if you’re early in the process and want to move quickly. When your current home does sell, you can use the proceeds to pay off the balance.

2. Bridge Loan - Temporary Financing to Get You Across

Bridge loans are short-term loans that help you “bridge” the gap between buying your next home and selling your current one. They’re typically interest-only and repaid once your home sells.

• Can be used for a down payment or full purchase

• Available through select lenders with more flexible underwriting

• Often require strong credit and solid financials

This can be a great solution if you need to move fast and don’t want to risk losing the new property. Just be mindful of the shorter timelines and rates that can be higher than a traditional mortgage.

3. Sale Contingency or Extended Closing

In some cases, you may be able to submit an offer contingent on the sale of your current home. This means your purchase only proceeds if your home sells first.

Pros:

• Reduces financial risk

• Gives you time to prep and sell your home intentionally

Cons:

• Not as competitive in a hot market

• Some sellers may prefer clean offers without contingencies

Alternatively, you can negotiate a longer closing timeline—for example, 60–90 days—giving you time to get your property listed and hopefully under contract before the new closing date.

A Quick Note on Hawai‘i Lending

It’s always wise to talk with a local lender early. Hawai‘i’s lending landscape is unique—especially on Maui, where zoning, property types, and title issues can be different from what you’d encounter on the mainland. A good local lender will help you navigate those nuances.

If you’re curious about what might be possible, I recommend connecting with:

Mary Fabbio

📧 mary.fabbio@rate.com

🏡 Residential Mortgage Specialist, RATE

Every situation is different. These are just a few ways to think outside the box when the dream home comes before the for-sale sign. If you’re wondering what your best next move might be, I’m happy to help talk through it and connect you with the right team.

Let’s make a plan that feels good—and gets you where you want to be.