Rehab loan for primary residence

[Tina McGlothin]

Hello all! 

My husband and I recently purchased an outdated, too small, primary residence and we're needing to rehab. We financed 100% using a VA loan so a HELOC isn't an option. Finding lending for renos on a primary residence seems to be hard to find. Since it's our primary we can't use HML and most of the lenders we've spoken to will only do 70% of ARV for reno loans which gives us nothing since that's basically the purchase price. I own a rental duplex under an LLC in another state outright and I'm planning on refi to purchase more rentals. I paid 90k in May 2020 and current value is estimated at 150k. Current total rent is $1525. Would there be any reno loans available to use on a primary residence or would my duplex open up any non-collateral LOCs that we could use? I'd prefer not to use a HELOC on the rental if at all possible because I want the rental money to go back to rentals and not my personal home. I'm also in the need for a lender for a LLC owned rental in Indiana if you have any recommendations for them as well.

Thanks in advance for any ideas/tips!

[Eric Veronica]

Hi Tina, 

Have any of the lenders brought up the Homestyle renovation loan?  This is a conventional  program that will lend up to 95% of the post renovation value.