Mortgage vs Renovation costs

[Andrew Bosworth]

Can someone please explain how to pursue financing for the mortgage versus financing for renovations/improvements? I understand that you can obtain home improvement loans when purchasing your primary place of residence...does the same apply for an investment property? In other words, when seeking financing for a property should I be applying for the mortgage plus improvements, or should I be looking to obtain two different financing options? Please excuse my newbie question, but I could use some help understanding this. Thanks in advance for the help!

[David Beard]

203k loans are for owner occupied only. There is a Fannie Mae renovation loan that will allow up to 35k in repairs on investment property. This is in the context of buy and holds. For flips, look into hard money lenders online or sourced through your REIA group, call local banks, or work your family and friends network for a private loan; offering 9-10% secured by a first lien on the property may get someone's attention.