RENOVATION LOAN
Renovation Home Loans
A renovation home loan loan allows you to borrow money for both the purchase of a home and home improvements, all in a single loan. You can also refinance an existing home to provide funding for repairs or improvements. In some cases the improvements are limited to “fixer-upper” type necessity repairs. While other programs allow for a wide range of repairs and improvements that would be considered non-necessity luxury / lifestyle upgrades and additions.
Benefits of Renovation Home Loans
- Buying a home in need of repair but don’t have the funds available to make the repairs out-of-pocket after the purchase
- Found a home in the perfect neighborhood but it doesn’t have all of the features you want or need? No problem, you can finance the renovation and upgrades into the loan at time of purchase.
- Want to make improvements to your existing home instead of moving? You can refinance your existing home loan to finance in the cost of upgrades and improvements.
- Conventional and FHA options available.
The benefits of getting a Renovation Home Loan from the loan geeks
- You won’t have to sacrifice great service to get a great rate on your loan! We offer a Full-Service home loan experience!
- We are an experienced renovation loan lender with extensive experience process renovation loans every day.
- We have an entire department dedicated to handling nothing but renovation loans to ensure our clients and their home renovation projects receive the attention they require.
- Our Loan Geeks Home Loan Experts are available to answer your questions by phone and email. We are here to assist you through the entire home loan process.
How Renovation Home Loans Work
- Once you have found a home you wish to buy that needs improvements, you will need to get estimates for all of the materials and repairs.
- An extended close of escrow may be required to allow for obtaining the necessary supporting documentation for the repair work. We recommend no less than a 60-day close of escrow for a renovation loan.
- Depending on the extent of the work, licensed contractors may be required.
- Architectural plans may be required depending on the type of improvements being made.
- An appraisal will be done assessing the value of the property based on the proposed repairs and improvements.
- If the finished value supports the cost of the improvements, and you meet the credit and income qualifications, we will process and fund the loan.
- Funds for the purchase (or pay-off of the existing mortgage if doing a refinance) will be disbursed at closing.
- Funds for the cost of repairs and improvements will be held back and disbursed in a series of “draws” as work get completed.
I am interested in a renovation loan. What is my next step?
Talk to a Loan Geeks Home Loan Expert!
Because of the specialized nature of renovation loans and the level of detail needed to properly process these loan, these loans require a more hands-on approach. If you are interested in looking into a renovation loan, please go to our Contact page, answer a few quick questions on the contact request form and we’ll have a Loan Geeks Home Loan Expert call you to answer all of your questions and get the process started.