Purchase Plus Improvements is for home buyers looking to purchase a resale home that could benefit from a few renovations. This program allows you to purchase a new home and combine the costs of the renovations into your purchase. You can take advantage of a low mortgage interest rate and the simplicity of a single payment. You’ll be able to get started on the improvements immediately after taking possession of your new home.
The first step will be to get a contractor to give you a quote with all the specifics of what is to be done to the home. The lender will then approve the mortgage based on what a “complete value” would be after the renovations are done. The lender will give your lawyer the funds for the renovations in trust. Most lenders will allow for multiple advancements to be made during the renovations. Once the renovations are complete, the lender will ask for a new appraisal to be done to verify that the work is done and request copies of any invoices and/or receipts. The lender will then notify your lawyer to release the balance of the funds held.
Now you can enjoy your new home made the way you want it.
Contact us with any questions and to get started on the road to your dream home.