Renovation Loan Contractors NJ
Are you buying a home as a first-time buyer? This can be quite tricky, particularly if you’re working with a tight budget. That’s why it’s important to understand your position on the market and whether you would be interested in purchasing a property that needs a renovation. 60% of individuals between 18-34 are open to this possibility.
A typical fixer-upper is a great option for the first time buyer because it’s more affordable. They sell for significantly less than a new home. However, before you purchase one of these properties, you do need to think about a few variables including renovation loan contractors.
Why Should You Buy A Fixer-Upper?
This is perhaps one of the most important questions to ask and we have already explored a key reason. It provides a budget-friendly entry point onto the market which is going to be great news for the average buyer. It also helps you avoid some of the issues that could be standing in the way of you and a new home like a weak credit score or the pressure of trying to save the down payment. There’s also less competition here too.
Finding The Right Renovation Loan
Before you start to think about completing the work on your home with the help of renovation loan contractors, you need to consider the mortgage. There are countless options to choose from here. Some like the FHA 203 (K) are ideally suited for those on a lower income or who have issues with their credit scores.
You could also consider a VA renovation loan. The Department of Veteran Affairs did recently change their loan guidelines. They now include the purchase of a home renovation. However, do note that the lender could charge a construction fee.
You should also look into Fannie Mae Homestyle®, Freddie Mac ChoiceRenovation™, and the VA Renovation Loan.
CHOICERenovation allows lenders to deliver loans to Freddie Mac where the borrower uses the loan proceeds to pay for the renovations.
This solution addresses a gap in the market for lenders looking for a robust, conventional offering to support renovation financing and provide cost-effective solutions for borrowers.
Offer more flexibility to your borrowers through any of our eligible fixed rate and adjustable rate mortgages, in addition to Home Possible®, super conforming and HomeOneSM mortgages.
Finding the Right Contractor To Complete The Work
Once you buy the home, you then need to think about who is going to complete the work for you. It’s at this point that you should give Capnovate Construction a call.
At Capnovate Construction, we specialize in renovation loan projects. Looking to turn your fixer upper into your dream home? Call us today at 201-380-1117.