Home Renovation Loan Program
Home renovation loans allow borrowers to finance the costs associated with upgrading, remodeling, or repairing a home.
Indications - this program is a good choice for:
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Can provide property owners with funds to make upgrades to a home in need of improvements.
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Can provide borrowers with funds to purchase a fixer upper.
What are the benefits?
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New Construction:
Renovation loans are not for use in building a new home.
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Qualifying and Credit Standards:
Products have credit and qualifying standards that must be met.
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Licensed Contractors:
Typically, renovation loans require borrowers to use a licensed contractor, who has experience with the type of work needed. Borrowers are not permitted to complete the work unless they are a licensed contractor.
Typical Disqualifying Considerations?
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Most Home Renovation Loan Programs require borrowers to work with a HUD Consultant. The HUD Consultant works with the borrower in managing the construction project and with keeping the contractor on target.
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Provides borrowers with an option to build personal equity by purchasing a property that needs upgrades or repairs or by updating their existing home.
Alternative Programs