Baltimore City Housing Grants
Baltimore City has some of the most extensive programs available for people who want to buy and live in the area. The Baltimore City Department of Housing and Community Development website provides the most robust source of information regarding all the different grants available as well as who may qualify:
https://dhcd.baltimorecity.gov/hho/homeownership-incentives
As with all grants, you’ll want to discuss the pros and cons with a mortgage lender that will help you qualify for your first position mortgage loan before you determine which grants may be of use to you. If you are available for any types of these grants, make certain you ask your lender to research the qualifications necessary.
Septic System Loan Maryland
The Maryland Department of Housing and Community Development offers several programs to eligible Maryland homeowners when it comes to home repairs that will improve the comfort, safety, accessibility and livability of their homes.
To find out more about what programs are available, click on this link and then talk to your mortgage lender about which program might work for you:
Renovating Your Home?
The Maryland Department of Housing and Community Development offers
several programs, talk to us about which program might work for you
Single-family Home Rehabilitation Program
There are several ways that existing and potential homeowners are able to remodel, rehab and ultimately modernize a home when it comes to mortgage financing. If you are searching for a home and you are not looking for a turnkey property that is move-in ready on Day 1, then you have several financing options to help you purchase a home and renovate it simultaneously.
FHA, VA and USDA financing each offer rehab loans called the FHA 203(k), the VA Rehabilitation Mortgage, and the USDA Section 504 Home Repair program, respectively. On the Conventional financing side, there is the FannieMae HomeStyle Renovation loan. With all of these programs, it is possible to purchase your home and also obtain the rehab monies you’ll need to renovate the property.
For most of the renovation loans, 1-4 unit properties are eligible as well as condo’s if they meet the right requirements. The down payment requirements for most renovation loans is also very low so it is an incredibly useful way to purchase a property that is in need of some repairs so that you can build and design the home to the specifications that work best for you.
When it comes to existing homeowners, most of these renovation products are also popular ways to refinance your current mortgage and simultaneously take out funds to repair, upgrade and/or remodel your home. The FHA 203(k) for example is a tremendous took for those people who have little to no equity in the property and with a few upgrades can increase the value of their home while also making some much needed upgrades.
Maryland Whole Home Program
The Maryland Department of Housing and Community Development offers several programs to eligible Maryland homeowners when it comes to home repairs that will improve the comfort, safety, accessibility and livability of their homes.
To find out more about what programs are available, click on this link and then talk to your mortgage lender about which program might work for you:
https://dhcd.maryland.gov/Residents/Pages/SpecialLoans.aspx
In addition to the above link, click on this link to learn more about the Maryland WholeHome Program that can be used to lower your family’s monthly utility bills and improve your overall quality of life, and as always, talk to your mortgage lender about whether you are eligible:
Baltimore Home Renovation Grants
The Maryland Department of Housing and Community Development offers several programs to eligible Maryland homeowners when it comes to home repairs that will improve the comfort, safety, accessibility and livability of their homes.
To find out more about what programs are available, click on this link and then talk to your mortgage lender about which program might work for you:
“The Maryland Department of Housing and Community
Development offers several programs to eligible
Maryland homeowners.”
Government Home Improvement Loans
FHA, VA and USDA financing each offer rehab loans called the FHA 203(k), the VA Rehabilitation Mortgage, and the USDA Section 504 Home Repair program, respectively. With all of these programs, it is possible to purchase your home and also obtain the rehab money you’ll need to renovate the property.
For most of the renovation loans, 1-4 unit properties are eligible as well as condominiums if they meet the right requirements. The down payment requirements for most renovation loans is also very low so it is an incredibly useful way to purchase a property that is in need of some repairs so that you can build and design the home to the specifications that work best for you.
When it comes to existing homeowners, most of these renovation products are also popular ways to refinance your current mortgage and simultaneously take out funds to repair, upgrade and/or remodel your home. The FHA 203(k) for example is a tremendous took for those people who have little to no equity in the property and with a few upgrades can increase the value of their home while also making some much needed upgrades.
The VA Renovation Loan allows for the veteran home buyer to purchase a home with 0% down payment while taking out up to $50,000 for the renovation costs. On the refinance side of the VA Renovation Loan, the maximum loan-to-value is 90% once the after-improved value of the property is determined by an appraiser.
Eligible Types of Housing
Single Family Homes (attached and detached), Townhomes, Rowhomes, 2-4 Unit Properties, FHA and/or VA Approved Condominiums, as well as some Manufactured Homes are all typically eligible for renovation financing. There is a list of ineligible property types that your mortgage lender can provide to you which include but are not limited to commercial properties, condotels, mobile homes, co-ops, etc…. .
Maryland Renovation Loan Terms
The interest rates, loan terms, and loan costs of each of the renovation loans are specific to each individual’s utilization of the mortgage product. All of these renovation loans are underwritten as one mortgage that when it closes is set for the remainder of the loan term, meaning that there is just one settlement that takes place.
The lender you are working with will work with you and your contractor when it comes to disbursing funds for your project. Some of the renovation loans require a HUD Consultant be involved in the mortgage process, especially when the renovations are more extensive, so that you the homeowner have an extra layer of protection in that your home will be renovated and completed in a timely fashion and according to the contract.
Lead Hazard Reduction Grant and Loan Program
The Maryland Department of Housing and Community Development offers several programs to eligible Maryland homeowners when it comes to home repairs that will improve the comfort, safety, accessibility and livability of their homes.
To find out more about what programs are available, click on this link and then talk to your mortgage lender about which program might work for you:
https://dhcd.maryland.gov/Residents/Pages/SpecialLoans.aspx
In addition to the above link, click on this link to learn more about the Maryland WholeHome Program that can be used to lower your family’s monthly utility bills and improve your overall quality of life, and as always, talk to your mortgage lender about whether you are eligible:
Lower monthly payment and assurance that your
monthly principle and interest payments will never increase.
Renovating for a New Home Purchase
Many of us have seen the DIY (Do-It-Yourself) TV shows on HGTV, for example, where potential home buyers look for homes that are in need of repair so that they can buy the home at a lower price, make the repairs that they want to make (versus having a real estate investor do it for them), and then hopefully come out of it with more equity than if you had just purchased a move-in ready property. If doing this was easy, then as the saying goes, everyone would be doing it! That being said, if you put in just a little more time and effort, you can utilize one of the many purchase + renovation mortgages to buy a home in need of some TLC, make the necessary repairs and upgrades, and come out with your dream home.
Most of the renovation mortgages that exist today are very similar to their non-renovation counterparts in terms of the down payments required. For example, the FHA 203(k) Standard & Limited programs, require the same 3.5% down payment of the after improved value of the home. The VA Renovation Program requires 0% down payment. The FannieMae HomeStyle requires just 3% down payment.
As you can see, with the same down payment requirements and a solid contractor, you can purchase a home, make the renovations, and then move-in soon thereafter. Some of the programs also allow you to defer the mortgage payments during the renovation process if the home is uninhabitable, so check with your mortgage lender to determine which product best suits your needs.
Improving Your Current Home
When it comes to existing homeowners, most of these renovation products are also popular ways to refinance your current mortgage and simultaneously take out funds to repair, upgrade and/or remodel your home. The FHA 203(k) for example is a tremendous tool for those who have little to no equity in their property and with a few upgrades can increase the value of their home while also making some much needed upgrades.
The FHA 203(k) allows the homeowner to borrow up to 110% of what is called the “after-improved value” of the home. This is determined by an appraiser who looks at the current value, then takes into account the work that is going to be completed, and comes up with the “after-improved value”.
For example, if your home’s after-improved value is $300,000, the FHA 203(k) loan allows you to borrow $330,000 (110% of $300,000). This alone makes the FHA 203(k) one of the most popular renovation financing options to many homeowners who have little to no equity in the property.
The VA Renovation Loan allows for the veteran home buyer to purchase a home with 0% down payment while taking out up to $50,000 for the renovation costs. On the refinance side of the VA Renovation Loan, the maximum loan-to-value is 90% once the after-improved value of the property is determined by an appraiser.
The FannieMae HomeStyle Renovation loan is perhaps the most flexible when it comes to what types of renovations can be made. For example, the HomeStyle allows for accessory units, garages, recreation rooms and swimming pools, whereas the FHA and VA renovations most likely would not.