Bridge loans and ADUs
One solves a timing gap. The other tries to create equity and rent.
Bridge
A bridge or swing loan borrows against the current house for a short term, often 6–12 months, so you can buy the next house before this one sells. It is usually interest-only and due when the old house closes. You are carrying two houses until that happens.
ADU
An accessory dwelling — backyard cottage, garage conversion — can be financed with a home equity product or a construction loan. If zoning allows it, the finished unit can rent and can raise the appraisal. The new equity is not free. It is what is left after the construction debt.
Educational only. Not a lender, and not financial, tax, or legal advice.