If you’re looking at making improvements or repairs to your home, an American Federal Home Improvement Loan could be a great option for you.
Our Home Improvement loans can be used to fix up single-family homes, as well as manufactured homes, multifamily properties and nonresidential buildings. Borrowers can also use the proceeds for site improvements and historic preservation. Basically, the improvements must “protect or improve the basic livability of the property.” (Loans under this program are not allowed to be used for luxury improvements, such as swimming pools or elaborate landscaping, or for cosmetic upgrades.)
Loans of less than $7,500 typically are unsecured, though loans above that amount will use your property as collateral. You can make the improvements yourself or use contractors.
Some examples of qualifying projects include:
- New flooring
- New roof
- Replacing home systems (HVAC, plumbing, etc.)
- New appliances
- Adding accessibility for someone with a disability
- Energy-efficiency improvements
Equity requirements are not as stringent for our Home Improvement loans, which makes them a good choice for people who have recently purchased the property they want to improve. Also, with the added equity from the completed improvements you may also be able to refinance into long term financing, saving your even more in the long term and simplifying your monthly payments.
If you’re interested in learning more about Home Improvement loans, or any other mortgage products, contact your American Federal Banker.
