Home Renovation Loans Pueblo Colorado

Home renovation loans offer Colorado residents financing solutions for home repair projects. These loans can be used to fund various renovation improvements, including repairing or upgrading electrical or plumbing systems, building a new room, and replacing the kitchen or bathroom.

Types of Home Renovation Loans

The following is a list of some of the several home improvement loans available in Pueblo Colorado. When selecting a loan, homeowners should extensively research each loan type, compare interest rates and costs, and assess their eligibility and repayment ability. It’s also worth noting that loan availability, limitations, and conditions may differ depending on the lender and location.

• FHA 203(k) Loans

The Federal Housing Administration (FHA) backs this loan, which is meant for homeowners who want to buy a fixer-upper or refinance an existing property while funding remodeling costs. The property’s after-renovation valuation determines the loan amount. FHA 203(k) loans are classified into two types: limited and standard, with specific loan limits and eligibility requirements.

• Fannie Mae HomeStyle Loan

This traditional loan allows borrowers to finance up to 95% of the after-renovation value of their house. The loan amount can be up to the maximum loan limit set by Fannie Mae, which is $726,200 in most areas and up to $1,089,300 in high-cost markets. It can be used to fund structural and non-structural improvements and luxury enhancements such as swimming pools and outdoor kitchens.

• Freddie Mac ChoiceRenovation Loan

Freddie Mac’s CHOICERenovation mortgage allows borrowers to purchase and renovate properties without needing two separate loans. It also enables existing homeowners to refinance, incorporating renovation costs into the new loan amount. The CHOICERenovation loan can save you thousands of dollars in closing costs since it combines the financing of your home loan and renovations into one mortgage.

• VA Renovation Loan

This loan is guaranteed by the United States Department of Veterans Affairs (VA) and is accessible to qualified veterans, service members, and their spouses. The loan can be used to buy or refinance a home and pay for renovation costs. The property’s after-improved value determines the loan amount.

• Home Equity Line of Credit (HELOC)

A home equity line of credit (HELOC) is a revolving line of credit that allows homeowners to borrow money against the equity in their property. It can be used to finance renovation projects and has a lower interest rate than a personal loan or credit card. However, because the loan is secured against the home, failure to repay could result in foreclosure.

• Cash-Out Refinance

This loan enables homeowners to refinance their current mortgage for a higher amount than they presently owe and use the difference to fund renovation costs. The interest rate on the loan is typically lower than that of a personal loan or credit card, but because the loan is secured against the property, failing to repay could result in foreclosure.

Apply For A Home Renovation Loan

Capital Home Mortgage Pueblo is both a direct lender and a mortgage loan servicer. Aurora residents can apply for any of our home improvement loans. Our highly skilled mortgage experts will work with you to determine the ideal lending package that meets your needs while remaining within your budgetary constraints.

Please get in touch with us at (303) 266-1177 to get started on your home improvement project.