Posted 14 days ago

Guide To The VA Renovation Loan

VA Renovation Loan

Is available on SFR, PUDs and VA approved Condo's. You can make repairs or improvements up to 35% of the "As Completed" value of the property. The improvements must be permanently affixed to the property, and add value.

180 day limit to completing the repairs.

10% Contingency reserve is required. (15% required if structural repairs or no utilites on)

Allowable Repairs: 

  • Maximum repairs 35% of the after complete value.
  • Roof: repair or replacement (covering, underlayment)
  • Gutters/downspouts: install/repair/replace
  • Insulation: ceilings/walls/asbestos removal
  • Weatherization items/repairs/improvements
  • Siding/windows/doors
  • Detached or Attached Garage - new build or repairs
  • Paint: interior/exterior/lead paint abatement )by certified LBP contractor)
  • Kitchen: all appliances/cabinets/ total
  • Electrical: repair/replace/recondition all
  • Plumbing: repair/replace/recondition all
  • Repair/Replace HVAC or other systems
  • Repairing or removing an in-ground swimming pool
  • Landscaping
  • Installing or repairing fences, walkways and driveways
  • Mold remediation or mold removal
  • Handicap accessibility improvements
  • Flooring/subflooring/tile/carpet/wood
  • Termite treatment/damage repair
  • Repairing or replacement of well and septic- *See appraisal section of the guidelines for specific requirements
  • Foundation Repair
  • Room Additions
  • Finish Basements and attics
  • Removal of outbuildings or old manufactured home
  • Repairs That are Not Allowed:

    • Repairs performed by the borrower
    • Swimming Pool Installations (Repairs allowed.) No luxury items such as outdoor kitchens/BBQs/Saunas, etc.
    • Improvements that do not conform to the surrounding neighborhood
    • Results in work not starting within 30 days after loan closing.
    • Television antenna and satellite dishes.
    • Improvements for Mixed Property Use
    • SFR conversion to a 2 unit
    • Relocated Property
    • Projects that will take more than 180 days to complete