The process of buying a house can be a lot like planning a wedding. Maybe you've spent years dreaming of the perfect decor, flipping through magazines and Pinterest for hours on end curating your style, and watching all your friends choose their details... thinking about how yours will be so much better. Then you set out to start shopping, and the perfect details are tougher to find than you hoped for, and everything you REALLY want seems out of reach with a hefty price tag.
The great news as that when you're buying a house, you can have your cake and eat it too! Renovation loans are a great option for homeowners looking to get into popular neighborhoods at a great price, and allow for custom design with a much smaller price tag than new construction.
Here are some great benefits you may not have known about renovation loans:
With a construction loan, you finance the cost of the house purchase + the cost of a contractor's renovation so you are able to finance the cost of a finished home.
FHA Construction loans require as little as 3.5% of the total loan value down, allowing you to preserve cash for after you move in.
Not all renovation loans are for "handyman's dream" homes. There are many loan products available, ranging from just getting new HVAC, to a kitchen makeover, to a whole house renovation.
When choosing a renovation loan, the most important consideration will largely be the team supporting you through the process. Make sure your agent, lending officer, and contractor are all on the same page and in the loop on what needs to be done to get you to closing. If you have questions or want to learn more, we recommend reaching out to Jeff Philibin & Michel Wright at Prime Lending. They can help you figure out which loan product best fits your goals, and help you understand how much you can qualify for. Together we'll work as a team to get you into your dream home.
Jeff Philibin & Michel Wright
Direct: 814-525-1818
Facebook @RenoDoneWright
Cheers,
Julie & Ted