Friday, July 11, 2008

If you need funds for improvements when you purchase

If you need more funds when purchasing or refinancing with improvements

Increase to the market value of the property is limited to 10% of the property’s as-improved market value

v First Advance – based on the properties as is value up to 95% LTV

v Improved Value – up to 10% of the market value after improvements. Advance after the improvements are completed.

v Down Payment – Based on improved value minimum 5%.

v EXAMPLE

Current market value $117,000

Acceptable as-improved market value of property $130,000

(i.e. maximum increase to market value = $130,000 x 10% = 13,000)

1st advance up to 95% of current market value, and subsequent advance up to 95% of as-improved market value.

Products available for improvements that exceed 10% of the property’s as improved market value.

Mark

A. Mark Argentino
P. Eng. Broker
Specializing in Residential & Investment Real Estate


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RE/MAX Realty Specialists Inc.
Providing Full-Time Professional Real Estate Services since 1987

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E-MAIL : mailto:mark@mississauga4sale.com?subject=Mississauga
Website : Mississauga4Sale.com

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