Have you found the perfect location or property, but with a home that needs a little work? If you’ve never considered a home improvements mortgage before, you might be surprised at how simple the process can be.
Some homes need a little bit of work, but if you have a vision a fixer-upper may be for you. The CMHC (Canada Mortgage and Housing Corporation) Purchase Plus Improvements Mortgage allows you to buy your dream home and give it the makeover you envision.
A home improvements mortgage can help you to complete home renovations and repairs that will turn a home that needs a little bit of TLC – into a dream come true.
The mortgage application process itself is simple. Your renovation mortgage will factor the total value of the home after its proposed renovation.
A home improvement mortgage can result in the home of your dreams for less than the cost of buying a property that is ready-to-go. Also, there is a benefit to managing your home improvements and your mortgage all in one place. Rather than applying for separate credit resources such as an unsecured line of credit or credit cards with high interest, you manage your project while paying down your mortgage at the same time.
With financing tailored to make renovations easier, your project will be much simpler and tracking expenses will be streamlined.
For borrowers who are interested in flipping a property or selling their home in a few years, we can even discuss your rate options. Perhaps you are a visionary who sees potential in a property but you don’t necessarily want to live there yourself. Let’s chat about the differences between fixed rate mortgages and variable rate mortgages.
If you’ve fallen in love with a true fixer-upper and are ready to purchase your dream home in the making – the Purchase Plus Home Improvements Mortgage is for you. First, you should know that you can apply with as little as 5% down. Once you’ve taken possession you can begin renovations immediately and sleep easy knowing you have a simplified mortgage to finance the work that needs to be done.
Second, you should also know that it is easy to determine the amount of your mortgage. To estimate the value of your home after renovations are complete, all you have to do is supply us with quotes. Once we have quotes for the renovations you are planning, we can take care of the rest.
We make the process of determining your home’s projected value easy. We ask you to shop around and get quotes for the renovations you wish to make. Once you have supplied us with your estimates, we supply your lender with a copy of the contracts along with a copy of an appraisal. The appraisal will include your home’s current “as is” value as well as the value of your home after renovations are complete (the “as if” value). Based on these revised numbers your new lender will issue a commitment to the project so you can begin renovating your home.
Once your home renovations are complete and the lender is satisfied that all of the work is done, the lender will notify your lawyer. At this time your lawyer will be directed to pay the contractors you have hired for the work they have completed and you can kick back, relax and enjoy your newly renovated home. If you’ve purchased to profit, you can begin the listing process with your agent and find the right buyer for your project.
When you decide to renovate your home you want to have options. That’s the best part of working with an experienced mortgage broker: options. The Mortgage Brokers Network has tons of experience dealing with purchases + improvement home loans and even construction mortgages.
We work hard to help make your vision come true. We have an advantage over other lenders because our many lending partners are willing to work with unique and challenging situations that a bank may not.
With many years of experience, we know exactly who to approach on your behalf to suit your specific lending needs. The strength of our network is your advantage as a borrower. Our common-sense approach to lending will help you obtain the best mortgage for you.
We can offer flexible lending requirements that work with your income and credit history. To explore our complete list of mortgage services, please click on the service that you’re interested in on our sidebar menu.
We provide mortgage services to Canadians who have been unable to secure the right financing elsewhere. Whether you’ve previously applied with a bank, a trust company, another mortgage broker or mortgage lender – we can help where others have turned you down.
If you’re considering financing for a renovation project home, it’s time to call the brokerage that has been serving Canadians for over 30 years.
Book your free consultation now to go over your options. Let us put our 30 years experience to work for you!
|Term||Posted Rate||Our Rate||Claim This Rate|
|Home Equity Line of Credit||Prime + .50%||Prime +.50%||Claim Rate|
|Fixed 1 Year||6.34%||5.69%||Claim Rate|
|Fixed 2 Year||6.24%||5.64%||Claim Rate|
|Fixed 3 Year||6.24%||5.02%||Claim Rate|
|Fixed 4 Year||6.04%||4.99%||Claim Rate|
|Fixed 5 Year||6.49%||4.89%||Claim Rate|
|Variable 5 Year||6.45%||6.45% (prime -.90%) Net Rate 5.55%||Claim Rate|
|Fixed 10 Year||7.49%||5.74%||Claim Rate|