Who says you can’t have your cake and eat it too?
With the new Conventional Homestyle Renovation Loan Program through GMFS Lending, you can have the home you’ve been dreaming of!
If you are looking to build a home or buy a home that needs some renovations, the Conventional Homestyle Renovation Loan is for you!
This special loan can be used for primary residence purchases or for secondary residences!
Unlike other home renovation loans, this loan has a minimum down payment of 5% of the total loan for primary residences and 10% for secondary residences.
The Homestyle Renovation Loan bundles the purchase price of the home with the construction costs into one single loan with the benefit of a locked interest rate at the closing. It is available as a 15 or 30 year fixed rate loan.
Example: (primary residence)
$100,000 purchase price
$100,000 construction cost
= $10,000 down payment (200,000*5%=10,000)
The maximum loan amount is $424,100, with the maximum renovation amount of 50% of the home’s value after improvements.
The possibilities are endless with this loan:
– Enclose an attic to make a loft or gameroom
– Replace flooring and install carpet, wood or tile
– Make cosmetic changes to any room within the home
– Update and make improvements to your kitchen
– Remodel your bathroom(s) from top to bottom
– Add a bedroom to fit your needs
– Renovate your swimming pool
– Install new fencing
– Foundation repair
This loan allows you to buy the “not so pretty fixer-upper home” in the perfect location and have it transformed into your perfect dream home with the ease of one fixed rate loan.
The borrow has the ability to choose an approved contractor to complete the renovations. There is a Do-It-Yourself option in some limited scenarios.
If you are looking to build your dream home from the ground up, or repair or renovate your current, next or second home, the Homestyle Renovation Loan may be the perfect loan for you!