Purchase Plus Improvement Mortgage By Nola Stairs
In this day and age, finding the home of your dreams with everything you are looking for is really easy. But in some cases, these properties may need a bit of TLC to match your needs perfectly. To provide the place with the TLC it needs, it’s going to cost you money and a significant amount. If you need to redirect your savings towards this, I suggest that you look for a Purchase Plus Improvements (PPI) mortgage.
When you buy a home, you may have certain upgrades or renovations you would like to make. For example, you may want to add a new roof, furnace, flooring, windows, or all these together. A PPI mortgage allows you to add all these costs into one easy-to-manage mortgage.
So if you’re looking for financing that allows you to purchase and repair a home, as a licensed mortgage broker at Nola Stairs, I can help you find the right PPI mortgage product to fit your needs at the best possible rate to save you money. Moreover, I can make the mortgage process simple and stress-free, giving you more time to plan your upgrades. Keep reading to learn more about the Purchase Plus Improvements mortgage.
What is Purchase Plus Improvement Mortgage (PPI)
A Purchase Plus Improvement Mortgage (PPI) is a flexible mortgage product that allows you to buy an affordable home due to required upgrading and enables you to customize your renovations. Once you have an accepted offer on the home you are looking for, tell your mortgage broker what you would like to do. The next step is to get quotes from contractors, even if you wish to do the work yourself. The final amount will be added to the purchase price, and your down payment will be calculated on that new amount. The funds for renovations are held in a lawyer’s trust account until the work is 100% complete and an inspection is done to show that the work is 100% complete.
Alternatives to this mortgage product would be to use your own savings, borrow from a personal loan or line of credit, or store credit. Just bear in mind that these credit and loan options come with very high-interest rates.
How does a Purchase Plus Improvements Mortgage work?
When you find a property, determine what renovations need to be done and get a rough estimate. Know that just about all of the banks that I deal with will consider offering a PPI up to a maximum of about 10% (up to $40,000) of the value of the home for improvements. I will then have your mortgage approval revised to include the price of renovations, as per the quotes provided, and help you complete your mortgage details. After the sale has concluded and you take possession of your new home, you can immediately start the renovations that were agreed upon. Once the work is completed, a bank representative is sent out to verify that the renovations were completed correctly and as required.
Finally, once payments are cleared, and all the mortgage details are taken care of, you can fully enjoy your new home-sweet-home.
How to qualify for the Purchase Plus Improvements Mortgage
You can get this product from your lender or mortgage broker. Of course, you must qualify for mortgage default insurance to obtain a PPI mortgage. You must also be able to pay for the renovation work at the start, for which you will be reimbursed.
Benefits of using mortgage services by Nola Stairs
Usually, your realtor or your broker will not tell you about PPI mortgages because it is not the top of their minds. But with my services, I can help you secure the right mortgage product for your home needs. Moreover, there is no extra cost for this product. Your mortgage payment will be slightly higher, but you can get the renovations done without sacrificing all of your savings.
If you’d like to learn more about my service, feel free to reach out to me at Nola Stairs, or give me a call at (250) 565-1200 or email me by clicking here. I offer my services across Prince George, Quesnel, Vanderhoof, Mackenzie, McBride, and Tumbler Ridge, BC. When you choose me, you will get personalized services according to your mortgage needs. At the same time, I can offer you expert advice and help you manage your finances appropriately.