Which scenario best illustrates the concept of a bridge loan?

The scenario that illustrates the concept of a bridge loan involves Gina needing to buy a new home while her current home is still on the market. A bridge loan is a short-term financing option that helps a borrower bridge the gap between the purchasing of a new property and the sale of their current property. It provides the necessary funds to complete a new home purchase before the old home sells, solving a common problem for homeowners who need to act quickly in a competitive real estate market.

This type of loan is particularly useful in situations where timing is crucial, as it allows the borrower to have immediate access to capital. Gina's situation perfectly exemplifies this need for interim financing, making it the best choice among the scenarios presented.