Got BIG remodeling dreams but a small savings account?
Whether you’re interested in purchasing a residential home that requires renovation work or would like to upgrade your current living space, a renovation loan program may be the perfect financing option for you. When it comes to taking out loans, whether it’s for a car or a home, your credit score will always come into play. Fortunately, it’s getting easier for homebuyers and home owners to get approved for an FHA-backed home loan. If you currently have at least a 620 FICO score and 3.5 percent down, you may be eligible for an FHA 203(k) loan. Additional requirements need to be met for those whose FICO scores are below 620. Speak with one of our Licensed Loan Officers to learn if you are eligible for a Renovation Loan.
Benefits of Renovation Loans
Benefits for Home Buyers Buying a Fixer Upper
• Realize immediate equity growth.
• Shop and Acquire a bargain property in need of a little TLC.
• Bid on short sales, foreclosures, and REOs.
• Get qualified to buy and renovate a home with just one loan.
• Low down payments.
• Sellers may be able pay for 6 percent of your closing costs.
• Renovation experts inspect and monitor the work.
Benefits for Current Homeowners
• Potentially Refinance into a lower rate mortgage and finance your remodel with a single loan
• Borrow based on the projected value of your home giving you freedom to tackle the dream remodel.
• Credit Scores as low as 620 and potentially lower (each case is unique)
• As little 2.5 percent equity to qualify.
• Renovation experts inspect and monitor the work throughout the process