New Purchase & Renovation Home Loan Product: “Home Style” 5% Down Loan
In Hawaii you’ll tend to find many homes in need of some serious TLC. Some homes require titanic efforts to bring them back to their former prestige, like the one in the picture below.
Historic Oahu Tudor home
For those homebuyers willing to take the plunge and put some sweat equity in a property, the new Home Style loan could be the right product for you. With the conventional Home Style renovation loan a buyer can purchase a property and pay for any renovations that add value to the property using 1 loan with a minimal down payment.
Loan Ceiling & Down Payment Amounts
This powerful loan combines a renovation and purchase loan and puts it into a conventional package. The following table details the down payments coinciding with the buyer types.
Conforming Loan Amounts High Balance Loan Amounts
($625,500 ceiling) ($721,050 ceiling + for more than 2 units)
1 unit primary residence – 5% down 1 unit primary residence – 10% down
1 unit second home 10% down 1 unit second home – 35% down
1 unit investment 20% down 1 unit investment – 35% down
Seemingly derelict, this home is ready to be restored to its former glory!
Repair Funding & Timelines
The allowed repair fund issuing is a maximum of up to 50% of the appraised after repair value. Any renovation must also add value and be fixed to the property. Furthermore, regardless of the degree of renovations planned, work must begin within 30 days after close and before 180 from close.
Kitchen ready for a remodel
Multi-Unit Use, For Any Buyer Type
Another unique feature to the Home Style loan is that it can also be used on properties with multiple units up to a maximum of 4. Tailored to any type of buyer who wants to build instant equity, this loan can be provided to first-time, second home, or investor!
Want to Know More? Connect with Joe
Consider putting your touch on your next home using the Home Style renovation and purchase loan today. Contact me for more information on this cutting edge loan product and for any of your Hawaii real estate sales needs!