One Time
Close Home Renovation Program
Numerous requests have been received
regarding the need of homebuyers and purchasers to
have a better way to make improvements on their existing
home or the home they are purchasing. In the past,
in order for homeowners or purchasers to do the improvements
they desire, they have only had a few alternatives.
These have been as follows: 1) To do a cash out refinance
based on the current value of the home. This does not
allow the borrower to take advantage of any additional
equity these improvements will produce. 2) To get a
loan approval based on the value of the home after
the improvements are made. This type of loan does not
allow the closing to occur until the improvements are
completed. This places the burden of funding the improvements
on the homeowner, who will then be reimbursed after
improvements are completed and the loan closes. Many
homeowners do not have the cash to initially fund the
improvements! 3) To take out an equity line, or take
a 125% LTV loan of current value, with high interest
rates in order to make the improvements. Both of these
options require the borrower to pay above market interest
rates. Finally, Garrett Mortgage, Inc., has answered
the call for a new and different way for borrowers
to make their home the home of their dreams. GMI has
developed a “One Time Closing Home Improvement
Loan.” This loan program provides the borrower
an opportunity to refinance their current mortgage
or purchase a new home, and fund the improvements made
to their property as they progress. The loan is then
modified at the completion of the improvements to one
of GMI’s permanent loan products at current market
interest rates.
Purchase Home Renovation
This program is for borrowers who are looking
to purchase a home and make immediate renovations/additions.
This program provides for a single settlement
in which the purchase of the home is funded and
the balance of the loan proceeds are held by
GMI and disbursed in draws as the improvements
to the property are completed. The "LTV" will
be determined by using the lesser of
the sales price of the home + documented costs
of improvements + 10% contingency reserve OR
the "upon completion" appraised value of the
property. Once the improvements are completed,
a modification agreement will be exercised and
the borrowers begin making their PITI payments
based on their permanent mortgage financing terms.
Refinance Home Renovation
This program is for borrowers who wish to make
renovations/additions to their current home.
This loan is a combination refinance and home
improvement. At the initial closing any and all
current liens are paid off and the balance of
the loan proceeds are held by GMI and disbursed
in draws as the improvements to the property
are completed. The "LTV" is
determined by using the "upon completion" appraised
value of the property. Once the improvements
are completed, a modification agreement will
be exercised and the borrowers begin making their
PITI payments based on their permanent mortgage
financing terms.
The money to remodel, finance and improve your dreams into
reality.
One Loan. One Closing!
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Purchase or Refinance
loans
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We loan up to
100% to qualified purchaser
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A variety of permanent
mortgage programs available
-
“Interest
only" payments during the improvement phase
at Prime +1 %
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Single settlement
and only one set of closing costs
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Loan amounts available
up to $1,000,000
-
Permanent mortgage
interest rates can be locked in at application
with a "float down" option provided
-
Potentially save
thousands of $$$$'s
Up
to 95% for Owner-Occupants*
Up to 90% for investors *
*Full Doc only |
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Home
Loans
Office
770.956.8562