There are several scenarios where you might need a bridge mortgage, but yes downsizing is a classic. If the sale of your current home is firmed up, this is a relatively easy transaction for your bank. But if you have not yet sold your home, you may need a private mortgage arranged by your mortgage broker. Suppose you are buying a new home, but the one you are in will not sell before your closing date. You get approved for a regular mortgage for the property you are buying, PLUS another temporary mortgage to cover your down payment and closing costs until your current home sells. The temporary mortgage is the bridge mortgage. It essentially helps you "bridge" the gap between the time your current home is sold and your new home is being purchased. This is why the solution is called a bridge mortgage. At Ross Taylor Mortgages we will make all the arrangements for you.