If you’ve found a home with potential but it needs work, a renovation loan can let you finance the purchase and the repairs in one mortgage.
Your Main Options
- FHA 203(k): rolls renovation costs into an FHA loan, good for moderate to major repairs
- Fannie Mae HomeStyle: a conventional option with more flexibility on the type of work
- Both require the work to be done by a licensed contractor and inspected along the way
How the Process Works
You’ll get bids from contractors before closing, and the lender holds the renovation funds in an escrow-style account, releasing them as work is completed.
Is It Worth It?
These loans take more paperwork and patience than a standard mortgage, but they can open up homes other buyers pass on, often at a lower purchase price.
For anything mortgage-related, Jesse’s your go-to. Call or text him at 321-501-9579 to talk through the numbers on a renovation loan.