Renovation Loan guidance / contractors

[Deepti Mandava]

Hi - I am a single mom looking to buy a home in Bay Area. With my budget, I am looking at fixer uppers mostly to build some equity. I found a house near west sanjose and the property will potentially cost $1.3mil, but it needs work before I move in. I am looking to see what my options are to fold a renovation loan into the home loan, how does that work. Can I choose my contractors, are there any restrictions with contractors ? I am planning on downpaying 10% -15% for the loan (even though I can do 20%) and use the remaining to get started with Reno. Any ideas / thoughts ? Can anyone help me evaluate if it’s a good deal, would greatly appreciate it.