Questions about Homepath Renovation loans...

[Edith TenBroek]

So, in looking at some properties eligible for these loans, I was wondering....

I know you have to have professionals do any of the reno work paid for by the loan. I'd like to do some of the work myself (like painting?) Can I structure the loan so in includes some of the work that I would hire out (carpet, drywall), but does NOT cover the work I can do myself like painting and tilework?

Just wondering if this is an all or nothing deal? Any thoughts?

[Justin J.]

Hi Edith,

I had the same thought when considering a renovation loan. I spoke with an underwriter and my loan officer about this exact concept. Yes you can plan to paint and do tile work yourself, but cost (ie cost of paint and tile) cannot come from the renovation loan budget. Unfortunately the lender will only disburse the funds from the renovation loan through an approved contractor. If you have a bit of money for small DIY renovations then this may be a great option.

Best,

-Justin