Bridging loans for retirees Australia buy first and sell later with confidence

Bridging loans for retirees Australia explained

Take the next step without waiting

Many Melbourne retirees spot the perfect new home before their existing property sells, a common scenario in a lively market. A bridging loan from La Trobe Financials lets you secure that fresh address today using the equity already earned on the family home, then repay once the sale is final.

• Funds arrive quickly, often within weeks
• Interest is usually capitalised during the bridging period, easing cash flow
• You avoid renting in between moves which saves money and stress

How does the structure work

The lender calculates peak debt, the sum of the new purchase price and your existing mortgage. You make interest only repayments or sometimes none if interest is capitalised, for up to twelve months while the old property is on the market. Once sold, the proceeds clear the bridge and you continue with a standard loan sized to fit your retirement income.

1. Obtain professional valuations on both properties
2. Confirm expected sale timetable
3. Lock in the bridging facility
4. Sell the original home and reduce the balance

Key advantages for older home owners

You move once, not twice, so your furniture and energy are preserved. Lenders assess affordability on super, pension, or investment returns, making the product friendly to mature borrowers. Speak with us early to compare rates and set a realistic marketing plan for your current property.

Frequently Asked Questions

How do bridging loans work for retirees in Australia

A bridging facility provides short term access to equity so retirees can complete their new purchase. Interest is either paid monthly or added to the loan until the former home sells, then the remaining balance converts to a regular mortgage.

What are the best bridging loan options for retirees buying before selling

Options vary, from loan terms of six to twelve months through to redraw or offset features that reduce interest. A broker compares multiple lenders and matches the structure to your sale timetable and income source.

Can a retirement property purchase with bridging loans in Australia suit pension only borrowers

Yes, provided the exit strategy is sound and the peak debt remains within lender limits. Your pension, super payments, or investment income can demonstrate serviceability.

Take the first step, call La Trobe Financials today and let us open the door to your new home.