Why Wait for the Perfect Home? Renovation Loans Can Help You Create It

Why Wait for the Perfect Home? Renovation Loans Can Help You Create It

Still searching for “the one”? You’re not alone. Many homebuyers find themselves frustrated when the homes within their budget don’t quite match their vision. Whether it’s an outdated kitchen, worn-out flooring, or a lack of space, it’s easy to feel like you’re settling. 

But here’s the good news: you don’t have to wait for the perfect house to hit the market. With a renovation loan, you can buy a home you love and finance the updates you want—all in one streamlined mortgage. 

What Is a Renovation Loan? 

A renovation loan is a type of home financing that allows buyers to include the cost of repairs or upgrades in their mortgage. Instead of taking out a separate loan or paying out of pocket, you can borrow based on the home’s “as-completed” value—meaning its worth after renovations are finished. 

Popular renovation projects include: 

  • Kitchen remodels 

  • Flooring replacement 

  • Room additions or expansions 

  • Roof repairs and energy-efficient upgrades 

Why Choose a Renovation Loan? 

  • One loan, one closing: Simplifies the home buying and renovation process 

  • Build equity faster: Improve your home’s value from day one 

  • Customize your space: Make the home truly yours 

  • Competitive rates: Lower than most personal loans or credit cards 

Renovation Loan Options at TowneBank Mortgage 

We offer several renovation loan programs to meet a variety of needs—from first-time buyers to investors and veterans. 

FHA 203(k) Renovation Loans 

Best for: First-time homebuyers 
Purpose: Major or minor repairs (excluding luxury items like pools or saunas) 

  • Streamline 203(k): Finance up to $75,000 in renovations 

  • Standard 203(k): Finance up to FHA loan limits, ranging from $498,257 to $1,149,825 depending on location 

Conventional HomeStyle Renovation Loans 

Best for: Primary residences, second homes, and investment properties 
Purpose: Flexible financing for a wide range of home improvements 

  • Loan limits: 

  • Up to $806,500 in most areas 

  • Up to $1,209,750 in high-cost areas 

VA Renovation Loans 

Best for: Eligible veterans using VA benefits 
Purpose: Safety and livability upgrades—not just cosmetic changes 

  • Renovation cap: Typically capped at $50,000 

  • Total loan amount: Based on the home’s appraised “as-completed” value 

Is a Renovation Loan Right for You? 

If you’ve found a home with potential but need to make updates, a renovation loan could be the perfect solution. Instead of waiting for the ideal property to appear, you can create it—on your terms and timeline. 

Let’s Build Your Dream Home Together 

At HomeSale Mortgage, we specialize in helping buyers turn vision into reality. Our experienced loan officers will guide you through the renovation loan process, explain your options, and help you choose the right program for your goals. 

Ready to explore renovation loan options? Contact us today to learn how you can finance your next home and the improvements that make it truly yours. 

 

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