Find out how to get your home loan with a home purchase and renovation project, both of which can be included in a single home loan contract while taking advantage of the best rates.
Home purchase and renovation project
The purchase of an old house is often accompanied by work, more or less important but it is a necessary passage to make the housing habitable and above all in order by current standards. For many borrowers, it is also the possibility of investing in real estate, the value of which will automatically increase when the renovation work is carried out.
An old house that cannot be inhabited will necessarily be put on the market with a lower price than the other habitable ones, carrying out the renovations and making this accommodation habitable will only increase its value, which suggests a nice plus- value if resold in the future. In any event, for the operation to be a resounding success, you must, first of all, obtain your mortgage for the house and the work to be financed.
Home loan: house purchase and work
The mortgage is a loan the amount of which is at least 75,000 dollars and the term of which can extend up to 35 years for certain banking establishments. This loan can be used for two things: finance the purchase of real estate (house, apartment, construction) and / or finance work in real estate.
The advantage of this financing is above all to be able to include the work in the mortgage, that is to say finance the purchase of the house and the work that will renovate it, this allows to benefit from ” a single credit and a single rate, rather than accumulating loans and therefore withdrawals from the bank account. On the one hand, you have to justify the purchase price of the house and on the other hand, you have to justify the amount of work to be done, whether it is done yourself or through professional craftsmen in the building.
Simulate the house purchase project to renovate
Do you have the amount of the purchase price of the house and even an approximate idea of the amount of work for the renovation? You can then simulate your mortgage project and obtain several offers with the best market rates. The interest being to know firstly if the project is feasible and in a second time under which borrowing conditions, we obviously speak of amount, duration, rate and monthly payment proposed.
You just need to complete the simulation form and take care to validate your entry, the result is very fast and above all without commitment.