Purchase Plus Improvements Mortgage in Kanata
Adding renovations to your property can make a world of difference to the function and enjoyability of your home. Many homeowners wait years, saving up for their desired updates, but what if you could finance these renovations from the point of purchase?
A purchase plus improvements mortgage allows you to do just that.
To find out more about the available mortgage options, get in touch with the team of brokers at Borrowing Made Simple today and book a consultation, (343) 763-2019.
What Is a Purchase Plus Improvements Mortgage?
A purchase plus improvements mortgage, often referred to as a renovation mortgage, is an additional loan that you can add to your mortgage when you buy a home. This loan is designated for financing renovations on the new property.
The total mortgage will be calculated by adding the purchase price to the estimated cost of desired renovations, minus the down payment. Buyers should have the cost of improvements evaluated by a professional before applying for a renovation mortgage.
A purchase plus improvements mortgage allows homeowners to complete renovations and start enjoying them right away while paying them off alongside their regular mortgage payment.
Can You Add Renovations to a Mortgage When Purchasing?
When you invest in a renovation mortgage, you are adding the cost of updates to the mortgage payment. The loan is based on the post-renovation value of the home, and it’s important to note that this money will not be released to the homeowner until the renovations are complete, and the house has been re-appraised.
Can You Get a Mortgage for More Than the Asking Price?
When you apply for a mortgage plus improvements package, the total mortgage will typically be more than the asking price as it includes the cost of renovations—depending on the amount of the down payment.
What Is the Best Way to Borrow Money for Home Improvements?
There are a few ways to borrow money for home improvements, including:
- A renovation loan
- A personal line of credit
If you are looking at buying a home that needs updates, our team recommends considering a purchase plus improvements mortgage. A renovation mortgage offers several perks when compared to other loans, including:
- Home renovations from the onset
- Convenience of simple repayment
- Lower interest rates
To find out more about the benefits of a purchase plus improvements plan, set up a consultation, and talk to a Borrowing Made Simple expert today.
Discover the Best Renovation Mortgage Rates in Town
If you are interested in discovering unique mortgage options, trust the guidance of Borrowing Made Simple’s experts. We will take the time to understand your renovation plans, and find a lender that will support your pursuits, at a competitive rate.
To get on board with Kanata’s best mortgage brokers, call and set up an appointment with Borrowing Made Simple today.
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