Home Plus Improvements: Finance Your Dream Home and Renovations

Are you purchasing a home that needs a little extra love? Or do you dream of transforming your current property into the perfect space? With Key Mortgage Partners, you can combine the costs of buying or refinancing your home with funding for renovations—all in one streamlined financial solution.

Our Home Plus Improvements program is designed to make homeownership and renovations more affordable and convenient, helping you unlock your home’s full potential without the hassle of juggling multiple loans.

Why Choose a Home Plus Improvements Loan?

What are Home Plus Improvements loans?

A Home Plus Improvements loan allows you to roll the cost of home renovations into your mortgage, creating a single, manageable payment. This type of financing is ideal for:

• Buying fixer-uppers: Purchase a home at a lower price and use the additional funds to make it your own.
• Renovating your current home: Add value, functionality, or aesthetic appeal without the high-interest rates of personal loans or credit cards.
• Investing in energy-efficient upgrades: Reduce your utility bills while improving your home’s sustainability.

What are the key benefits?

1. Lower interest rates: Mortgage rates are significantly lower than credit card or personal loan rates, making this an affordable option for financing renovations.
2. Increased property value: Strategic improvements can boost your home’s resale value, providing a solid return on investment.
3. One loan, one payment: Simplify your finances by consolidating renovation costs into your mortgage.

For more information on financing options please call us today.

The Home Plus Improvements Process

Step 1: Assess Your Needs

The first step is determining the scope of your renovations. What do you want to achieve? Whether it’s updating an outdated kitchen, finishing your basement, or adding energy-efficient windows, having a clear vision helps set your budget.

Pro Tip: Obtain detailed quotes from licensed contractors to ensure accurate cost estimates.

Step 2: Get a Future Value Appraisal

Your lender will require an appraisal that estimates your home’s value after the renovations are completed. This “future value” determines how much financing you can secure.

Why is this step important?

• It ensures that your loan aligns with the increased equity of your home.
• It provides peace of mind that your renovations will add measurable value.

Learn more about the appraisal process on the CMHC website.

Step 3: Loan Approval and Disbursement

Once your loan is approved, your renovation funds are typically disbursed in stages, ensuring the work progresses as planned.

How does disbursement work?

• Your lender may release funds directly to your contractor after completing certain milestones.
• We’ll guide you through the process to ensure smooth and timely payments.

What Types of Renovations Can Be Included?

Eligible Renovations

Home Plus Improvements loans can cover a wide range of projects. Popular examples include:

• Kitchen Remodels: Upgrade your appliances, countertops, or cabinets for a modern, functional space.
• Bathroom Renovations: Add luxury features like heated floors or enhance functionality with updated fixtures.
• Energy-Efficient Upgrades: Install new windows, HVAC systems, or solar panels to reduce energy bills.
• Structural Repairs: Fix foundation issues, replace your roof, or build a home addition.

Are cosmetic upgrades eligible?

In most cases, yes! Projects that improve your home’s aesthetic appeal, such as new flooring, painting, or landscaping, may qualify. However, some lenders prioritize functional upgrades. Check out CMHC’s Renovation Program for guidance.

How about energy-efficient improvements?

Energy-efficient renovations are highly encouraged. You may even qualify for additional rebates or incentives, such as those offered through Natural Resources Canada.

Are Home Plus Improvements Loans Right for You?

Who benefits most from these loans?

• Buyers of Fixer-Uppers: Turn a less-than-perfect property into your dream home while potentially saving money compared to buying a fully renovated house.
• Current Homeowners: Increase the functionality, comfort, and value of your property without the need for separate loans.
• Investors: Maximize your rental income or resale value by upgrading your property.

What are the drawbacks?

While this type of financing offers many benefits, it’s essential to understand the responsibilities:

• Staying within budget is crucial, as unexpected costs can arise.
• Renovations must often be completed within a set timeframe to align with your loan terms.

If you’re unsure whether this solution is right for you, contact us for personalized advice.

Frequently Asked Questions (FAQs)

How is the loan amount determined?

The loan amount is based on your home’s projected value after renovations. A licensed appraiser evaluates this future value, and lenders approve financing accordingly.

Do I need to provide renovation quotes in advance?

Yes, most lenders require detailed quotes or contracts from licensed contractors to approve the loan.

What if my renovation costs exceed the estimated budget?

It’s best to include a contingency buffer in your budget for unforeseen expenses. If costs exceed your financing, we can explore supplemental options.

How long does the approval process take?

With all necessary documents in place, the process typically takes 2–4 weeks.

For more answers, visit CMHC’s FAQ on Home Renovation Financing.

Why Choose Key Mortgage Partners for Home Plus Improvements?

At Key Mortgage Partners, we specialize in helping clients finance their home renovations efficiently and affordably. Here’s why we stand out:

1. Expertise in Renovation Financing
We have extensive experience structuring Home Plus Improvements loans, ensuring you get the best deal for your unique needs.

2. Personalized Service
We take the time to understand your goals and guide you through every step of the process, from pre-approval to disbursement.

3. Access to Competitive Rates
As mortgage brokers, we work with a wide network of lenders to secure the most favorable terms for you.

Start Your Home Transformation Today

Ready to turn your house into the home of your dreams? Contact Key Mortgage Partners today to explore your Home Plus Improvements options.

Call us for a free consultation.
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Take the first step toward transforming your home while keeping your finances simple and affordable. Let’s make your vision a reality—together!