Finance Your Fixer-Upper with Confidence

Finding the perfect home isn’t always about what’s already there–it’s about what’s possible. Whether you’ve discovered a diamond in the rough or want to enhance your current home’s value, home renovation loans can provide the financial flexibility to turn a house into your dream home. But understanding how these loans work–and how to use them wisely–can make all the difference. At Thompson Kane & Company, we help homebuyers and homeowners navigate home renovation loan options with expert financial guidance. If you’re considering financing a fixer-upper, our loan officers are ready to assist you in making the right financial decisions.

What Are Home Renovation Loans?

A home renovation loan allows you to finance both the purchase price (or refinance) of a home and the cost of renovations within a single loan. Instead of managing multiple loans or dipping into savings, you can secure funds upfront to cover your renovation plans while keeping mortgage payments structured and predictable.

Types of Home Renovation Loans

Several loan options exist for homebuyers and homeowners looking to finance home improvements:

FHA 203(k) Loans

• Designed for buyers purchasing a fixer-upper or homeowners looking to renovate.
• Combines the home purchase and renovation costs into one loan.
• Requires government guidelines to ensure renovations improve livability and value.

Fannie Mae HomeStyle® Renovation Loan

• Available for both homebuyers and current homeowners.
• Can be used for a wide range of home improvements, from structural repairs to luxury upgrades.
• Requires a qualified contractor for renovations but allows greater flexibility in projects.

VA Renovation Loans (For Eligible Veterans)

• Helps eligible veterans and active-duty service members purchase and renovate a home under one loan.
• Covers repairs necessary to bring a home to VA standards.

HELOC (Home Equity Line of Credit) or Cash-out Refinance

• Ideal for homeowners with existing equity who want to finance renovations without moving.
• A HELOC functions like a credit line, allowing flexible withdrawals as needed.
• A cash-out refinance replaces your mortgage with a new loan that includes extra funds for home improvements.

Is a Home Renovation Loan Right for You?

Before choosing a home renovation loan, consider:
✔ Your long-term homeownership goals – Are you improving for resale value or long-term comfort?
✔ Loan terms and interest rates – Some loans offer better rates than personal loans or credit cards for renovations.
✔ The scope of renovations – Major structural repairs may require specific loan types.
✔ Your financial comfort level – A loan that aligns with your monthly budget and financial strategy is essential.

How Thompson Kane & Company Can Help 

Understanding home renovation loans is key to making smart financial decisions, and that’s where we come in. At Thompson Kane, our experienced loan officers will walk you through available loan options. We can help you compare financing structures to you secure the right loan for your needs. Whether you’re buying a fixer-upper or upgrading your current home, we ensure the process is seamless and financially sound.

Thinking about buying, refinancing, or looking into a home renovation loan? Contact Thompson Kane today to explore your options and take the next step toward financing your dream home.