Attempting to refi out of a 3.5fha at 6months

Attempting to refi out of a 3.5fha at 6months

Member since 2022 · 18 posts · 7 votes

I’d like to refinance out of 3.5fha and cash out after the 6month mark. I’ve added solar panels to increase the value of the home along with flooring and cosmetic renovations. 

Have you guys seen large jumps in value after adding solar panels?

Is landscaping a factor when it comes to appraisal?


We got the home for 270k and comparable homes in the area range from 330k-350k.

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Lender · Houston, TX · Member since 2023 · 235 posts · 255 votes
3y

Don't see much value add for solar panels. Landscaping doesn't add value either. It will help the appraiser know that the property has been taken care of but not a value add. Most of the value add will be in the interior.

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  • Real Estate Agent · San Antonio TX, USA · Member since 2017 · 44 posts · 10 votes
    3y

    Hey Jeffery my first question would be are the solar panels paid off? Now appraisal value they don't add too much to the value but if the homes around you have sold or appraised for 330-350 then that would be your best indicator. Finishings and layout play a huge factor. Landscaping not so much in SA because of how dry it is although if it has it great but not something thats a need as long as its looks clean. Also my question would be why reappraise and do you understand the monthly note change?  I hope this helps a little and if you have anymore questions feel free to reach out.

  • Investor · Las Vegas, NV · Member since 2013 · 8k+ posts · 10k+ votes
    3y

    If you’re leasing or making payments on the solar panels they probably reduced the value of your home by the amount owed on the panels. If you paid $20k out of pocket, and own them outright, they probably added $5-7.5k. 

    What’s the purpose of the refi? You probably won’t be able to get any cash out, as they’ll want 20% equity. So if it appraised for $335k you could get a loan for $273k minus closing costs of $5-10k. But interest rates are probably as high or higher than 6 months ago so you may end up with even higher payments with no cash out. 

  • Andrew PostellPro Member
    Lender · Fort Worth, TX · Member since 2016 · 8k+ posts · 6k+ votes
    3y

    @Jeffrey Audije you need to go and speak with a lender on this right away.  You live in Texas.  There are specific rules to this in Texas that aren't in any other states.  Landscaping is not a factor in your appraisal.  

  • Lender · Houston, TX · Member since 2023 · 235 posts · 255 votes
    3y

    Don't see much value add for solar panels. Landscaping doesn't add value either. It will help the appraiser know that the property has been taken care of but not a value add. Most of the value add will be in the interior.

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