Do you ever watch shows like Property Brothers, Holmes on Homes, Renovation Realities and wonder how every day people can afford to buy these homes and complete (on occasion) hundreds of thousands of dollars in renovation work so quickly?
Sure, TV shows always have a slight air of mystery but for many people in recent years these types of projects are completely doable– and the kinds of things shown on these renovation reality shows is not something that has to just be a far off pipe dream. In fact there are mortgages called “renovation loans” that consumers who qualify can use to buy (or refinance) a home and roll the cost of necessary and desired renovations/upgrades into the cost of their loans.
Two common types of renovation loans are the FHA 203k Loan and the Conventional HomeStyles Renovation Loan. The 203k features a down payment as low as 3.5% ( of purchase price + renovations), while the HomeStyles loan is a conventional mortgage that starts at 5% down and can even include improvements such as landscaping, appliances, swimming pools and more. Even better, the HomeStyle program can even be used for second homes/vacation properties (10% down minimum).
Still not convinced? If you are in the Grand Rapids or West Michigan area there are even local Renovation Loan Consultants that you can contact to help you with “the vision” that the stars of your favorite reality shows bring to the table. Whether you want to buy that bargain fixer upper and turn it into your home, or you are looking to modernize that family cottage consider doing it with a renovation mortgage. You don’t have to be a “property brother” to find a cool home and make it your own with renovations.
**Down payment and terms shown are for informational purposes only and are not intended as an advertisement or commitment to lend. Please contact us for an exact quote and for more information on fees and terms. Not all borrowers will qualify. 616-774-9160