Unlock Your Dream Home with Purchase Plus Improvements
Are you on the hunt for the perfect home but finding that it needs a little extra love on the inside? Well, you’re in luck because we’re about to introduce you to a game-changing opportunity – the Purchase Plus Improvement program!
What Is Purchase Plus Improvement?
Imagine you’ve stumbled upon your dream home in the ideal neighborhood, but it requires some interior upgrades. You’ve already got your down payment ready, but you’re wondering how to finance those essential renovations. That’s where this program steps in, offering you the chance to include renovation costs in your mortgage. It’s like turning your dream home into a personalized masterpiece!
Key Program Details:
- Property Price: Your chosen property must be under $1,000,000.
- Renovation Financing: You can finance up to 10% of the purchase price (up to a maximum of $40,000) for renovations.
- Renovation Timeline: Renovations are typically expected to be completed within 5 months.
- Scope of Repairs: The program is primarily designed for cosmetic repairs rather than major structural work.
But here’s the scoop: it’s not as simple as just requesting a larger mortgage amount. You’ll need to find the right property, gather renovation quotes, and cover renovation costs upfront or through deposits. It’s essential to keep those receipts handy, as your lender may want to verify the expenses once the work is finished.
Lenders have varying methods for verification, with some requiring appraisals while others may accept photos and receipts. Once they’re satisfied that the renovations meet their standards, they’ll release the renovation funds to either you or your contractor. Keep in mind that your down payment is calculated based on the improved value of the property, not its original purchase price.
Purchase Plus Improvements: Real Life Example
Let’s consider an example: Jennifer discovers her dream home listed at $400,000. However, she envisions updating the master bedroom and giving the place a fresh coat of paint, which amounts to $20,000 in renovations. By leveraging the Purchase Plus Improvement program, her down payment is calculated based on the improved value of $420,000. Jennifer proceeds with the renovations, and the lender disburses the $20,000 renovation cost to her contractors.
Why Choose Purchase Plus Improvement?
In a real estate landscape where home values can fluctuate due to interest rates, this program provides an incredible opportunity. You can transform a well-priced house into your dream home while ensuring that the financing aligns with your vision.
If you have any questions about the Purchase Plus Improvement program or need guidance on how to get started, please don’t hesitate to reach out to our team at 519-250-4848. We’re here to help you turn your homeownership dreams into reality.
