Purchase Plus Improvements Mortgage in Toronto
If you are looking for a way to finance renovations on your new home, investing in a purchase plus improvements mortgage might be the right option for you.
To find out about the benefits of a purchase plus improvements mortgage, or how to qualify, get in touch with eMortgage Solutions and set up a consultation today.
What Is a Purchase Plus Improvements Mortgage?
A purchase plus improvements mortgage (PPI), also known as a renovation mortgage, allows qualified homebuyers to utilize a percentage of their property’s post-renovation value. The total cost of improvements will be tacked onto the existing mortgage loan and paid off accordingly. A PPI makes financing home renovations simpler.
Can You Add Renovations to a Mortgage When Purchasing?
The purchase plus improvements mortgage program at eMortgage Solutions allows you to combine the cost of your renovations with your mortgage, upon purchase.
Our mortgage plus improvements program allows you to complete your renovations and live in your dream home while enjoying the convenience of just one mortgage payment.
While many homeowners have to wait years, saving up for home updates, those who invest in our mortgage program can complete value-enhancing home improvements upfront, rather than drag them out. Fund your renovations now with a PPI mortgage.
How Does a Purchase Plus Improvements Mortgage Work?
Once you find your dream house, you will need to get a price quote for the estimated renovations. From there, you will need to apply for your renovation mortgage with these costs accounted for. If approved, your mortgage will reflect the total value of the home, plus the renovations, minus the cost of the down payment.
Once you take possession of your property, you can begin the renovations right away. It’s important to note, however, that the designated renovation funds will not be dispersed to you until after the repairs are complete, and the home has been professionally re-appraised.
What Is the Best Way to Borrow Money for Home Improvements?
There are several ways to finance home improvements, such as:
- Taking out a personal line of credit
- Applying for renovation programs
- Getting a home improvement loan
For those who are purchasing a new home, however, we recommend investing in a renovation mortgage right off the bat.
Can You Get a Mortgage for More Than the Purchase Price?
If you are purchasing a renovation mortgage, the mortgage will typically be more than the property, depending on the cost of the down payment.
The funds for the renovation will not be loaned until after the updates are complete. Homeowners will plan and execute home improvements, hiring contractors when necessary. Once the home is re-valued, the funds will be released to pay off the renovations.
Discover Our Renovation Mortgage Programs
At eMortgage Solutions, we understand that it can be challenging to find a property that checks everything off your wish list while remaining on budget.
Our renovation mortgage program allows homeowners to invest in the value of their homes at the point of purchase. To find out more about how to qualify, set up a consultation with one of our experts today.