How many renovation loan products do you have?

How many renovation loan products do you have?

PrimeLending has a number of renovation products up to $1.5MM. This is important in our marketing area, SF Bay Area, South Bay - Santa Clara. Lots of homes from $750,000 - $1.5MM that exceed the FHA Maximum Mortgage Limits and include renovation money.

Several calls this week for people looking for a 203k, one on a $1.2MM project and the other on a $840,000 purchase ,while FHA isn't the right loan for them we were able to help them with other similar products.

We know of two lenders who go up to $3,000,000 to purchase or refinance and renovate their homes. While the FHA 203k program and HomeStyle Renovation Mortgage programs are the mainstay of our business, they just don't fit every buyer. The larger the loan amount likey will require larger down payments than the FHA 203k. 

Here are some examples

Renovation:

• 203K
• Homestyle
• USDA
• EZ-C – (conventional version of 203K limited, up to 35K renovation budget)
• Jumbo Renovation
  • Up to 30% of completed value or no more than $250K (in most cases)
  • 10% contingency included
  • 80% LTV
  • Max loan amount
    • Purchase: $1,500,000
    • Refi: $1,000,000
  • 720 min FICO
• VA
  • 90 day completion
  • Up to 25% of as completed value (including contingency)
  • 100% LTV
  • Conforming, High Balance and Jumbo (up to $1M loan amount)

New Construction:

• Conforming
• Jumbo
  • Up to $1,500,000 on primary residence
  • 720 min FICO
  • No MI

If you want to know more about the above programs - click here

Don't forget the 203h program. Anyone who was forced out of their homes, tenants or owners, due to a nationally declared disaster area like TX, FL, and now CA. If your home was damaged and you can't go back to it the 203h may be your ticket. You can purchase anywhere in the USA with "0" down payment, yes, 100% financing even if you were a tenant. It doesn't have to be on the same lot where your old home was it can be ANYWHERE IN THE USA. 

So, if you have a client that relocates to CA as an example, find out if they were in a disaster area, you may help them keep that insurance money in their pocket and get 100% financing on the home you want to sell to them. You can use this in conjunction with the 203k if the home needs repairs.

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