Financing a Buy & Renovation: Personal Home

4 Replies

Hello BPers, 

I am looking to buy a fixer-upper in North Bay and need to finance both the mortgage and the rebuild. It won't be a complete tear down and start new, but will cost around $400-$500 k in repairs and expansion, while the home will cost around $1.1M to buy. 

My question is which is the best financing option for something like this? Will bank finance or use Fanniue Mea on loans this big? 

Michael

@Michael Daharsh ...you're going to want to go retail bank portfolio for a loan of that size.  FNMA's conforming is not going to work with a buy price of 1.1MM and rehab of say $500k.  This is assuming you're looking for higher leverage financing.  Depending on location, I'd check with US Bank and/or Banner Bank, for starters.