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Home Renovation Loans

Renovation loans help qualified borrowers purchase or refinance — and renovate — with a single loan.

What is a home renovation loan?

The U.S. Department of Housing and Urban Development (HUD) section 203(k) program and Fannie Mae’s HomeStyle Renovation loans help qualified borrowers purchase or refinance — and renovate — with a single loan. These types of loans are not used to construct brand new homes, but to update and renovate an existing home. These programs create more flexibility in the transaction by basing the loan scenario on the property’s future value once the renovation is complete.

Why get a renovation loan?

Because a renovation loan gives you the opportunity to purchase and renovate with a single loan, you’ll enjoy one mortgage, one closing, and one monthly payment. A down payment is required, and keep in mind that you may have to carry mortgage insurance (i.e. the HomeStyle program requiresprivate mortgage insurance for loan-to-value transactions exceeding 80%, while the 203K program will require mortgage insurance regardless of the loan-to-value). You can also make immediate improvements to your home without exhausting your savings or maxing out your credit cards to cover the necessary work. And like any other mortgage, the interest on your loan is tax-deductible.

Start your home renovation journey

We have the experts who work with you to ensure the process is as clear and simple as possible. Reach out today to move one step closer to your dream home!

Our company is not endorsed by, nor acting on behalf of or at the direction of the U.S. Department of Housing and Urban Development, Federal Housing Administration, U.S. Department of Agriculture, Veterans Administration or the Federal Government.

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