|
 |
Home >> Lending >> Home Equity
Getting a Loan for Home Reconstruction
My fiancee and I want to rehabilitate our home that was given to her by her father. Her name is the only one on the deed at the moment. We owe nothing on the home and need a loan to completely reconstruct it, including windows, drywall, plumbing, heating and cooling, siding, roofing, and other miscellaneous items. We do not know which steps to take to do this.
|
|
 Talk to several lenders about a construction/rehab loan. It may be fashioned as an equity loan as well. You are interested in a loan that will allow draws and when the draws are done, the loan is fully funded. That should allow the funds necessary for what you want to do. That loan is then renewed into a loan with monthly payments.
She will pledge the home as collateral and she, or she and you will be the borrowers. You may also be added as an owner when this is done, assuming that is what is desired by both she and you.
The bank will be interested in who is doing the work and the value of the property now, and when rehabed. Unless you are skilled and have the time and workforce, you'll need a contractor to do this. That contractor could be what you want first, as they may have financing available.
Published on BankingQuestions.com 11/17/09
|
| |
|
Accounts
Article
Q&A
Podcast
Video
Blog
Discussions
PDF
Powerpoint
