Residential
Remodeling Loans
For Existing Residence or Purchase
Finance your major
remodeling project, using one of our
“One Time Close”
Remodeling Loans.
Powerful Programs
fund the entire project
with no payments during construction
Loan amounts up to $3,000,000
Fully Documented and Stated
Income Programs
Major Remodeling Loans
When a Construction
Loan is used to purchase an existing property.
If you are
planning on buying an existing home with the intention of conducting
a major remodel then a construction loan is the only effective way
of doing that.
A construction loan will not only provide enough loan to
purchase but also enough to money to make the payments during
construction and all the work to be done.
The
reason for that is the fact that a construction loan is based on the
future value of the property, rather than the purchase price. Loan
to cost limitations will apply which are outlined in the "construction
loans" page.
Loan
to cost ratios can be as high as 95% where the "cost" is defined as
all the costs associated with:
Lot/existing property purchase
Soft cost of construction, such as architectural plans, permits
fees etc.
Hard cost of construction which is all the actual costs
associated with the physical work and labor.
Closing costs, such as loan fees, title fees, real estate taxes,
per diem interest and last but not least closing agent fees.
Interest reserve, which is the reserve account that will make the
payments on the construction loan during construction.
Contingency reserve, which is the reserve account that will pay
of the unexpected cost over runs.
Note
that unlike a purchase money mortgage loan a construction loan
closing expenses are considered as a cost and are inclusive of the
loan amount calculation.
When Remodeling an existing home.
The
same loan can be used to completely remodel and or add on to an
existing home, when the present equity is not enough to complete the
project using a home equity line of credit.
Again
the loan to value will be based on the future value of the property.
However if you have owned the property for over a year then the loan
to cost can be as high as 100%.
How Does It Work?
All repair,
renovation, rehabilitation and expansion expenses including but not
limited to the following list can be included in this remodeling
construction loan Program :
-
Additions to
existing structure.
-
Removing /
Replacing doors and windows.
-
New roof.
-
Interior and
exterior walls.
-
Floor coverings
-
Landscaping.
-
New Kitchen and
bathrooms.
Even
luxury items such as, pool, spa and tennis court are allowed.
Basically everything can change down to the foundation.
Loan Amounts And Limits
Loan
Limits vary for this program depending on the type of program
you choose. Basically the same loan amounts describe in the
"construction loans" page apply.
Questions?
Call us Toll
Free or Send an Email,
with any questions or concerns that you may have. Visit Our
State Specific Contact Page,
where you can find our phone numbers to call us, contact us by email
or complete our short, secure application form.
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