Yes— you can buy it ugly, fix it pretty, and roll it into one mortgage.
Finding a home that checks every box is rare, especially in today’ s competitive market. But what if you find a place with good bones and terrible wallpaper? Enter the Purchase Plus Improvements Mortgage— a solution that lets you finance your dream reno right into your mortgage.
The cost of renovations can generally be added for upgrades like new kitchens, bathrooms, flooring, roofing, or even finishing a basement. Cosmeticonly changes like appliances or a hot tub? Not eligible.
Here’ s how it works: Get a contractor quote after your offer is accepted. Your lender then needs to approve the reno cost and send the funds to your lawyer at time of closing, who then holds the funds in trust. After renovations are done, an appraiser confirms completion, and the funds are released to you.
Keep in mind that you’ ll need to pay upfront for the work and get reimbursed only after it’ s done— so plan to have cash, credit, or a payment plan with your contractor.
Your down payment is based on the as-improved value, not the purchase price. And yes, this can work with as little as 5 % down in some cases.
Already own the property? You might consider a refinance plus improvements mortgage or a HELOC instead.
Renovating your home doesn’ t have to mean draining your savings— just borrow smart, not hard.
Paul Meredith, Principle Broker / Owner, PMT Mortgage www. easy123mortgage. ca
Brokerage Lic: 13692