Home Renovation Financing
Home Renovation Financing Loans are my specialty. E
mail with questions on
renovation financing Homeowners need a better way to finance a home renovation. In the past, homeowners wishing to finance
a home renovation had few alternatives. These were 1) Pay for the home
cash. 2) Do a cash-out refinance based on the value
of the home before renovation. 3) Get a home equity line based
on the current value of the home. 4) Get loan
approval based on the value of the property after the home renovation. This places the burden of financing the
home renovation on the homeowner who will
not be reimbursed until after the loan closes.
am a home renovation financing mortgage broker and represent 22 of the largest home
renovation financing and construction lenders in the
market. As a broker, I work for my client and not the lender, taking time to
understand your situation and placing home renovation financing with the lender whose
home renovation financing match your needs. I give you unbiased
advice and support throughout the process. Home renovation financing is a
specialized part of mortgage banking and most brokers do not have the experience
to guide you through this complex process. This is some basic information but please
call to discuss your project. At the fundamental level, lenders offer two types
of home renovation financing loans characterized by how they base interest rates during
the construction phase. I describe these as “One Step” and “Two Step”
financing is a variation of the
construction/perm home renovation loans
product. An advantage
of home renovation
financing is that we lend against
the finished or "as completed" value
of the property.
loans have two uses:
If purchasing a home that would be perfect if....... The
first disbursement acquires the property and subsequent disbursements
predetermined points in the construction process. After construction, it
modifies into the permanent product saving the cost of a second closing.
If remodeling your property because it
would be perfect if.... The first disbursement refinances any liens
against it and advances the contractor any up front costs. Subsequent
disbursements and modification follow the above process.
There are several programs available:
You may act as your
own General Contractor if the costs are less than $50,000 and
the "footprint" is not changed. If your project is large
or will change the foundation we will require a contract with a
licensed contractor. I have a section on
contractor requirements and contracts.
A newsletter giving a
detailed description of home renovation
financing by email.
We also offer Second Trust or
Lines of Credit up to 100% of the Current Value.
For the documentation needed for your
Financing , a section on Frequently Asked
Questions, a section on renovation financing draw
schedules, and information on home renovation