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Basement had gotten flood damage 5 years ago from the city main sewer. City fixed the back up sewer but the basement hasn't gotten rehabbed. How much of a loan would this usually cost to repair. Also appliances are getting older 10+ can you use this loan for that?
asked Sep 3 in Home Improvement by Neon

1 Answer

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Hello Neon, and thank you for writing.

There are several ways to finance a renovation or rehab. If your income is low enough, there are often local programs to help with this, especially if health and safety are involved. If you are 62 or older, a "single purpose" reverse mortgage, sponsored by government or charity organizations may do the job. These must be used for a specific purpose and have low or no interest.

If you don't qualify for any of these special programs, home equity loans, home equity lines of credit (HELOCs), or cash-out refinances can all do the job if you qualify (income, credit, etc.). If you have little or no home equity to borrow against, the FHA 203(k) product allows you to refinance your mortgage, plus the costs of your rehab, basing your loan amount on the IMPROVED value of the property. Find out more about financing your rehab here. https://themortgagereports.com/39902/home-remodeling-how-to-finance-your-project
answered Sep 10 by GinaPogol (43,100 points)
edited Sep 10 by GinaPogol

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