New Renovation Loan
I had a great conversation with a lender that stopped by my office today. Â Wells Fargo Home Mortgage has a new conventional loan product on the market! Â It's called a the "Purchase & Renovate Loan", which seems to be similar to the FHA 203K product.
Buyers will still need a minimum of a 5% down payment, but the repair or improvement price is added to the purchase price and the appraisal is based on the Improved Value, rather than the "as-is" value. Â
That means, if you like the house, but there is no garage, you might be able to add one! Â Or, if you'd make an offer but you HATE the carpet, you could make that work too! Â Are the windows old and drafty? Â Does it need a new furnace? Â My goodness, think of the benefits. Â :-)
Obviously, everything is based on your good credit, contractor bids, appraised value, etc., but this is great news and a wonderful opportunity for our market. Â Call your Wells Fargo Home Mortgage Rep for more information, then give me a call so we can start looking for your new home...
*** I am not a Lender, and do not claim to know everything there is to know about this loan program. Â Availability and rules could be subject to change - please consult with the experts