Do you need financing for the purchase or refinance of principal residence that needs a major renovation?

Have you thought about remodeling but just weren't able to justify the expense?

Did you know there are loan programs designed exclusively for home renovations and remodeling of a home?

Financing for a home remodel or home renovation has historically been accomplished with the use of a Home Equity Line of Credit, Second Mortgage or a Refinance with cash out, but with all of the changes in the mortgage and credit markets these types of loans are much more difficult to obtain and there is a better solution...a renovation or remodeling loan.

Renovation and Remodeling Loans - One Loan to do it ALL

A remodeling loan program called a "renovation loan" is ideal for any large remodel or "tear down and rebuild." This loan program is designed for anyone buying, renovating or remodeling a home. It's a terrific program for those who are looking for a house in an area they like but where they can't seem to find the right house. And it is ideal for those who have a house that isn't quite the house of their dreams, but they would like to make it so.

If you are considering a major remodel, a "tear down and re-build" or an extensive renovation in Georgia, Florida, North Carolina or Alabama then a renovation or remodeling loan is a loan you should consider .

Refinance Benefits:

Our Renovation Loan program enables you to finance all the costs associated with renovating or remodeling your home. This is especially helpful if you do not have a lot of equity, since it is now extremely difficult to get home equity lines of credit and second mortgages above 80% loan to value. Our renovation and remodeling loan allows you to borrow against the improved value or the "post-renovation" value of your home.

This loan allows you to borrow much more than the current/unimproved value of your property, because the new "renovation" loan amount is based on the improved value after remodeling/construction is complete.

Purchase Benefits

This program allows you to "build-in," or finance, the cost of remodeling or renovating a home into your new permanent mortgage loan, so if you've found the right area but can't find the right house, you can stop looking and "rebuild" the right house.

Tax Deductibility and Other Benefits:

Renovation and remodeling loans are ideal for those who may have the cash, but would rather finance their home improvement and get the benefit of additional tax deductions due to the new higher mortgage amount.

It is equally good for those who would otherwise liquidate or cash-out an income-producing asset to come up with the money, and obviously it's a great alternative to financing your improvements with non-tax deductible credit card debt or loans.

There are other potential benefits including the possibility of dropping or eliminating private mortgage insurance (PMI) because of a higher "post renovation" appraised value and an improved loan to value since you will have more equity.

Example of a typical Renovation/Remodeling Loan:

Current mortgage balance or sales price: $250,000

Pre-renovation Value of Property: $320,000

Estimated Cost of Renovations: $100,000

New "Renovation Loan" amount: $350,000

"Post Renovation" Value: $420,000

If you refer to the above example where the "pre-renovation" value is $320,000 the maximum amount you could borrow with a traditional equity line of credit or second mortgage would be well short of the amount needed to do the renovation.  With the "renovation loan" you can borrow the full amount necessary to do the work because the renovation loan amount is based on the "improved" value after all renovations are completed.  (And you are doing it all with tax deductible dollars at a great interest rate).

Please call 1-800-414-5285 for more information.

Contact us now by filling out a quick form to help us understand your needs.