After you've been preapproved for a home loan, and are just starting your home search in Frederick, MD, you may quickly realize that the shortage of inventory is leading to fewer home options than you initially planned for. When the supply of move-in ready homes within your budget is slim, consider the option of renovating a home in Frederick. While many think a full home renovation is out of their budget, The Deibler Group wants to change this mindset. Through construction loans or 203k renovation loans in Frederick, a beautifully renovated home can be an option for many first time home buyers. Read on to see our loan lender’s tips on how to renovate a home in Frederick MD, and contact us today and see how Goldwater Bank and The Deibler Group can help you purchase and renovate your dream home, or renovate your current home for increased room and style.
Seek Financing from an Experienced Lender
When renovating a home, it’s important that you first become prequalified for a renovation loan from an experienced lender. It’s best to use a lender that has an in-house renovation department, rather than one who brokers the transaction or construction management out to a third party. An experienced and reputable lender will speed up the process to 45 days or less, so you can get started on your home renovation, faster.
Find The Right Realtor
After you’ve found the right lender, it’s time to find the right realtor to help you locate the perfect home for you and your family. Again, experience is key to make sure your home search results in the best possible home for your unique needs.
Get A Fixed Cost Bid from an Approved Contractor
Once you have the right lender, realtor, and home, the next step is to find an approved contractor. They’ll help you put together what is called a fixed cost bid to complete the renovations so that they meet HUD guidelines, as well as fit the needs of your family. Throughout this process, you’ll work with a HUD consultant to ensure the bid is correct, that it meets lender and HUD guidelines, and that the process is completed in a timely matter. As mentioned before, finding a lender that has an in-house renovation department is of upmost importance to have a speedy and successful closing and construction flow. With many moving pieces and timelines, you want to make sure you have an experienced lender who can assist throughout this process in an experienced, professional way.
203k Renovation Loans in Frederick
The good news is that you can apply for a 203k renovation loan in Frederick. This is a special type of financing available to local residents that have specific requirements in place. For example, it can be used as a purchase loan, and it also may include costs for a rehab or renovation. This eliminates the need to apply for multiple loans or lines of credit, simplifies your budgeting and ultimately can give you the funds you need without hassle. There is also a Limited 203k program available for less significant repairs. Your Frederick mortgage lender can help you review the loan requirements to determine if this is the right type of financing for you. The Deibler Group has experienced mortgage lenders who are happy to provide more information about 203k loans and construction loans in Frederick, MD.
Contact Us Today
There is currently a shortage of homes in the Frederick area, and this means that it can be difficult to find and relocate to a newer home that is already fixed up for you. By purchasing a home you plan to renovate, or by renovating your current home, you can improve your home's functionality and style to meet your needs. If you have been thinking about renovating your Frederick area home, consider following these steps and reaching out to The Deibler Group to find out how much you qualify for and what types of renovations are allowed. Contact us today to learn more!