Did you know?
You can get include renovation costs in your mortgage to purchase a home. Paying off your renovation costs at mortgage interest rates can make buying a fixer-upper affordable. Talk to your mortgage provider about how to qualify for this option. It works like this:
You estimate the costs of improvements (up to 10% of the value of the house) and the future value of the house with the improvements.
You pay for the improvements out of a line of credit and when they are completed the house is reappraised to confirm that the improvements were made.
Then the remaining funds are released. You pay off your line of credit and the amount is added to your mortgage.