Renovation Lending: Taking the Guesswork Out of Writing the Contract
Don’t be intimidated by the process of writing a contract for a Renovation Loan. Also don’t get scared if you see that a buyer is using this type of loan to purchase a new home. Renovation Lending is a thing of the present and it offers so much to the buyer, seller and the respective agents.
In today’s housing market finding the perfect, move-in ready house is nearly impossible. Furthermore, while it’s unfortunate the reality is that a lot of the homes on the foreclosed market are in need of some help. It’s rare that people will share the same taste so having an option to customize the home or an option to finance the cost of any necessary repairs is ideal. The short video above will show you just how easy it is to write the sales contract but let me just lay out a few examples below of how useful this loan can be.
As a listing agent what happens when you have a great foreclosure listing but the AC condenser goes missing? The seller doesn’t want to replace it because it will probably go missing again and they have already put enough money into the house being that it’s a foreclosure. The buyer doesn’t want to replace it until they own the home so…what are your options? Any of our Renovation loan programs will do the trick. In fact, depending on the severity of the work that needs to be done we might just be able to perform the repairs under our Escrow Holdback program.
What about that great house you just found but it has foundation issues?? The seller doesn’t want to spend the money to repair. The buyer does not have the cash to fix and will not fix until they own the home. The solution again can be a Renovation Loan.
As a final example take that listing with the updated kitchen but the disgruntled previous owners tore out the cabinets. Aside from this no other repairs are mandatory. Well once more a Renovation Loan saves the day and also gives the new buyer a chance to really customize the home to their liking.
With one of our great Renovation Loans the possibilities are endless. Take the plunge and let me along with my team of experts work with you on your next renovation project. From Conventional to FHA Renovation Loans we have them all. Repairs don’t scare me and they shouldn’t scare you either – neither should the process of writing the contract for a renovation loan.