What Is A Renovation Loan?
So, you found a house that has potential, great location, big back yard, 2 car garage, but the kitchen needs a face-lift and the dining room doesn’t have those hard-wood floors you’ve always wanted. Before crossing the property off your list, you might want to consider a renovation loan or as I like to say a customization loan.
A renovation loan lets you purchase a house while giving you the additional funds to remodel or repair your property. It can expand your home search because you can buy something less than perfect and then- make into the home you dream of! Plus, your purchase and renovation costs are combined into one convenient monthly payment, which is typically much less costly than using high-interest credit cards and other financings.
If you have been living in your house for many years and would like to upgrade and renovate to something new, or if you are planning on purchasing a fixer-upper, you can fund this project with a renovation mortgage. You can receive a fixed or adjustable interest rate, and your renovation costs are placed into one loan.
Facts About Renovation Loans!
A Renovation Loan can help your loan approval process if you are having trouble getting approved!
A few different Renovation Loans that our team may consider for you are the following: FHA 203(k) Standard & Limited, HomeStyle® Renovation Mortgage, or HomeStyle® for Investors. Our recommendation depends on your personal situation. To qualify for a 203k loan, you’ll need to meet the same credit score requirements as any other FHA loan. Contact The Hunter Home Loan Team today to find out what our lenders require!
Although a renovation loan has many benefits, it also has some intricacies. So, make sure you speak with the Hunter Home loan Team, so we can give you a more detailed explanation of what you can expect. We look forward to serving you!