If you plan to purchase a fixer-upper or renovate your existing home, an FHA 203(k) loan may be the perfect loan for you.
What are the Features & Benefits of Renovation Loans?
If there are features in the house that need work or that you aren’t happy with, make improvements on it! Making enhancements will not only increase the overall value of the home, but it will also make a difference in how much you love your home.
Consider using a Home Renovation loan to make upgrades to a house and transform it into a home you’ve always wanted. With a Renovation loan, you’ll have the ability to finance a construction period of up to six months with only one set of closing costs!
FHA 203(k) Loan
If you plan to purchase a fixer-upper or renovate your existing home, an FHA 203(k) loan may be the perfect loan for you. FHA 203(k) loans are backed by the federal government and are a great loan option for those who want to purchase a home and perform upgrades, repairs, remodel or customize to their needs and wants.
Fannie Mae HomeStyle
The Fannie Mae HomeStyle renovation loan allows you to either purchase a new home or refinance your existing home and make personalized improvements with one loan closing. The cost of your personalized improvements is placed in an interest-bearing Escrow account and disbursed as the work is completed and inspected.
The HomeStyle loan does not have any minimum amount of improvements or any restrictions on the type of repairs that can be included in your loan. The only requirement is that any improvement must be permanently affixed to the property and add value to your property. HomeStyle allows you to build home equity while increasing your comfort and enjoyment in home ownership.