Streamlined 203K Program (FHA)
The streamlined 203K program handles smaller projects. It can help homeowners with improvements that cost up to $35,000. There is a maximum value that determines property eligibility.
These plans can help you make minor changes such as:
- Fix or replace roofs, gutters, downspouts, flooring, septic system, well, exterior decks, patios, porches, windows and doors
- Upgrade existing HVAC, plumbing and electrical systems
- Remodel or finish basement or kitchens, without structural work
- Paint, weatherize and waterproof
- Purchase and install certain appliances
- Improve disabled accessibility
- Fight lead paint issues
Homestyle Renovation Mortgage (Conventional)
When you buy or refinance a home, HomeStyle Renovation allows you to finance improvements for up to 50% of the property’s as-completed value (the appraised value of the home once the upgrades are completed).
How Does It Work?
This type of financing can be a more cost-effective way to renovate your home, since it combines the cost of the home and renovations into one mortgage. It also addresses some common financial challenges with purchasing and/or renovating a home by offering:
- Low down payment options – You can put down as little as 5%.
- Savings – You may save money by avoiding closing costs on a second mortgage or with a lower interest rate than those on a home equity line of credit.
- Flexible source of funds – Your down payment could be made with eligible gifts or money from down payment assistance programs.
Also, the renovations you’ll make have the potential to create equity in your home right away!
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