Trading up, without overshooting.

Upgrading is the most common move among existing owner-occupiers, and the sequencing decision (sell first vs buy first) is the single biggest stress point. Selling first gives certainty on funds but creates rental-period inconvenience and market-timing exposure. Buying first lets you move directly but exposes you to bridging-loan costs and dual-mortgage stress if your existing home doesn't sell quickly.

Bridging finance is the typical solution for buy-first upgrades. Closed bridging (existing home under contract) carries rate ~1% above standard variable; open bridging (existing home not yet sold) carries 2-3% above. The structure assumes existing home settles within 6-12 months.

Capacity: most upgrades are funded by equity from the existing home plus a slightly larger mortgage on the new home. APRA buffer and DTI guardrail still apply. We model the capacity stretch with realistic equity assumptions (80% LVR cap on existing home for equity calc).