August 19, 2026
Short answer: Four kinds of financing let you buy a new home without a home sale contingency — that is, without making the purchase depend on selling your current home first. They are: bridge loans, buy-before-you-sell (guaranteed-buyer) programs, home equity financing (HELOCs), and cash-offer / “power buyer” programs. Each works differently, but they all do one of two things: give you the cash to buy before you sell, or put a guaranteed backup buyer behind your current home so you can drop the contingency.
Below is how each option removes the contingency, who it’s best for, and what to watch out for.
Key takeaways
A home sale contingency makes your purchase conditional on selling your current home — and sellers often reject offers that carry one.
Bridge loans unlock your existing equity so you can buy first and repay when the old home sells.
Buy-before-you-sell programs add a guaranteed backup offer on your current home and can remove its mortgage from your debt-to-income ratio.
HELOCs let you self-fund the down payment, but they add to your debt-to-income ratio.
Cash-offer programs put a backup cash buyer behind your purchase so you can waive financing and appraisal contingencies too.
First, what is a home sale contingency?
A home sale contingency is a clause that says your purchase only goes through if your current home sells by a certain date. It protects you — but it signals risk to sellers, who worry the deal could collapse if your home doesn’t sell. In a competitive market, a contingent offer often loses to a cleaner one. The financing programs below exist to let you remove that clause with confidence.
The four programs at a glance
| Program | How it removes the contingency | Best for | Watch-outs |
|---|---|---|---|
| Bridge loan | Unlocks your equity now so you can fund the new purchase before selling | Equity-rich buyers who want to buy first | Traditional ones carry high rates/fees; next-gen options like Knock’s are 0% for a set term |
| Buy-before-you-sell (guaranteed buyer) | Adds a backup offer on your current home and can drop its mortgage from your DTI | Buyers who need both certainty and qualifying room | Program fees; you still list and sell on the market |
| HELOC / home equity | Lets you borrow against equity to self-fund the down payment | Buyers with strong income and low other debt | Raises your DTI; variable rate; your home is collateral |
| Cash-offer / power buyer | A backup cash buyer stands behind your purchase | Buyers competing against all-cash offers | Often financing/appraisal contingencies, not the sale contingency specifically |
1. Bridge loans
A bridge loan lets you tap the equity in your current home to cover the down payment on your next one — so your offer doesn’t depend on selling first. Traditional bridge loans work but tend to be expensive, with high interest rates and origination fees.
The Knock Bridge Loan™ is a next-generation version built to remove those downsides: you can access up to $1,000,000 of your equity at 0% interest for up to six months, repaid when your current home sells. That gives you the funds to buy first and drop the sale contingency entirely. See who a bridge loan is best for to gauge fit.
2. Buy-before-you-sell (guaranteed-buyer) programs
These programs go a step further than a loan: they place a guaranteed backup offer on your current home, so you have a committed buyer even if the open market is slow. That backup is what lets you confidently waive the home sale contingency. Many of these programs can also remove your current mortgage from your debt-to-income ratio, which frees up how much you can borrow on the new home.
Knock combines both: the Knock Bridge Loan is backed by the Knock Purchase Offer, a non-contingent backup offer on your departing home, and Knock Bridge Loan Plus removes that home’s mortgage from your DTI. If you want to understand what makes a waived-contingency offer credible to sellers, see non-contingent offer requirements and this alternative to the home sale contingency.
3. HELOCs and home equity financing
A home equity line of credit lets you borrow against your current home’s equity to fund your down payment, so you can buy without waiting for a sale. The catch: the HELOC payment gets added to your debt-to-income ratio, which can shrink how much you qualify for on the new mortgage — and it stacks another payment on top of two possible mortgages. HELOCs also carry variable rates and use your home as collateral, so they fit buyers with strong income and low other debt.
4. Cash-offer and “power buyer” programs
Some companies will make a backup cash offer on the home you’re buying, so you can compete with cash buyers and even waive financing and appraisal contingencies. These programs mainly target the financing contingency rather than the home sale contingency, but they’re worth knowing if you’re both selling a home and worried about winning a competitive purchase.
The lender route: getting your current mortgage excluded
There’s also a documentation path that doesn’t require a special program. Under Fannie Mae’s B3-6-06, Qualifying Impact of Other Real Estate Owned, a lender can leave your current home’s payment out of your debt-to-income ratio if it’s already under contract with an executed sales agreement and cleared financing contingency. The limitation: your home has to be under contract first — which is exactly the gap bridge and buy-before-you-sell programs close, since they let you drop the contingency before you have a buyer lined up. (For how lenders count these payments, the CFPB explains debt-to-income ratio.)
How the Knock Bridge Loan skips the contingency
The Knock Bridge Loan™ is designed to remove the home sale contingency without forcing you to sell first or carry two mortgages. It gives you your equity upfront (up to $1,000,000, 0% interest for up to six months), backs your current home with the Knock Purchase Offer so you have a guaranteed buyer, and — with Bridge Loan Plus — removes the old mortgage from your DTI. The result: a strong, non-contingent offer that’s competitive with cash. In practice, 92% of Knock customers sell their home in under 90 days. For the full process, see the complete guide to buying before you sell.
Frequently asked questions
Can you make an offer without a home sale contingency if you haven’t sold your home? Yes. Bridge loans, buy-before-you-sell programs, HELOCs, and cash-offer programs all let you fund the purchase or secure a backup buyer so your offer doesn’t depend on selling first.
What’s the best financing to skip the home sale contingency? For most equity-rich move-up buyers, a next-generation bridge loan like the Knock Bridge Loan is the cleanest option — it provides the down payment upfront at 0% interest for up to six months and includes a guaranteed backup offer, so you can waive the contingency without carrying two mortgages.
Does a HELOC remove the home sale contingency? Indirectly. A HELOC gives you cash for the down payment so you don’t need to sell first, but it adds to your debt-to-income ratio and doesn’t provide a backup buyer for your current home.
Will waiving the home sale contingency put me at risk? It can, unless your financing includes a guaranteed backup offer on your current home. Programs like the Knock Bridge Loan pair the waived contingency with the Knock Purchase Offer, so you’re not left unable to sell.
Do I have to sell my home before buying with these programs? No — that’s the point. Each of these lets you buy first and sell afterward, on your own timeline.
Wondering which option fits your situation? See if your current home qualifies for a Knock Bridge Loan and find out how much equity you could use to skip the contingency.