Bridge financing house sale + new construction project

Hello dear community,
I have been a silent reader until now and am now facing a somewhat complicated situation myself and ask for your assessment:

We plan to sell our current prefabricated house built in 2017 (in BW). Current market value approx. 670-730k, remaining mortgage on the house credit approx. 270k.
We have already reserved a larger plot of land and would like to buy it so that we can build a larger house on it.
The plot costs 80k.

Of course, we are now under time pressure because we have to submit our purchase intention for the plot within the 2-month reservation period. However, I cannot make the 80k available from equity funds for the purchase of the plot before we have sold the house.

But we want to buy the plot promptly and simultaneously start the sale of our current house.

The costs for the new build would amount to approx. 670k including the plot and all incidental construction costs.
From the sale of the house, we should be able to transfer approx. 400k of equity into the new construction project, so that we would then need a 270k loan for the new house.
After the house sale, we would have to rent an apartment for approx. 1-1.5 years until the new house is completed.
That’s the theory.
Basically, we have no time pressure; the only time pressure has arisen because we have to submit our purchase intention during the reservation phase for the plot, otherwise the plot will be gone.

I am not consciously asking here for the perfect expert opinion, but simply brainstorming which financing models might be feasible here. I have read a lot about bridge financing but it is said to be expensive.. Therefore, I need an idea of the possible constellations regarding feasibility.

Thanks for your opinions.
Regards
ActiveX

Hello dear community, I have been a silent reader so far and now find myself in a somewhat complicated situation and ask for your assessment:

We are planning to sell our current prefabricated house built in 2017 (in BW). Current market value around 670-730k, remaining loan on house mortgage about 270k. We have already reserved a larger plot of land and would like to buy it so that we can build a larger house on it. The plot costs 80k.

Of course, we are now under time pressure because we have to express our intention to purchase the plot within the 2-month reservation period. However, I cannot provide the 80k from own funds to buy the plot before we have sold the house.

We want to buy the plot promptly and, in parallel, start the sale of our current house.

The costs for the new build, including the plot and all additional construction costs, would be about 670k. From the sale of the house, we should be able to transfer about 400k in equity into the new construction project, so that we would then need a 270k loan for the new house. After selling the house, we would have to move into a rental apartment for about 1-1.5 years until the new house is completed. That’s the theory. Basically, we have no time pressure; the only time pressure has arisen because we have to express our purchase intention during the reservation period for the plot, otherwise the plot will be gone.

I am not consciously asking here for the perfect expert opinion, but simply brainstorming which financing models could be possible here. I have read much about bridge financing, but it is supposed to be expensive... Therefore, I need an idea of the possible constellations regarding feasibility.

Thanks for your opinions. Regards ActiveX

I would finance the plot variably. You can then repay it when the house is sold.

1. Finance land flexibly
2. Sell the house and continue living in it until moving out
3. Transfer the old loan to the new house - if it makes sense in terms of conditions

Either you get the money from the house sale immediately (and remain a tenant) and can use it to build the new house, or you get the money only upon moving out and have to work with bridge financing until then.

In the past few years, I have done it twice that I sold the "old" property, received the purchase price, and paid a usage compensation for the period until moving out. This is a completely common procedure.

Clearly finance variably even if it costs a few euros more. You then have no pressure to sell at the next possible price, can repay at any time and calmly look for the best partner for the overall financing once it is clear what final loan amount you need.

We plan to sell our current prefabricated house built in 2017 (in BW). Current market value approx. 670-730k,

We have already reserved a larger plot of land and would like to buy it so that we can build a bigger house on it.

The costs for the new build including the plot and all incidental building costs would be approx. 670k.

The numbers don’t really add up for me. The NEW BIGGER single-family house is cheaper than the CURRENT one?

The numbers don't really add up for me. The NEW LARGER single-family house is cheaper than the CURRENT one?

Different region?? Please clarify