If you’re a real estate agent in Northern Nevada, you’ve undoubtedly heard your home-buying clients say something to the effect of, “I really like this house, except for this…that…and the other thing that look old.” Such is life in a local economy like ours that’s growing by leaps and bounds after a decade of homebuilding stagnation in the wake of the last Great Recession.
As a result of people who were just hanging on over the past 10 years now being in a position to move, there’s a tremendous amount of aged inventory in Northern Nevada. Coupled with the steady climb in local housing prices, older homes are the only affordable option for a lot of buyers these days. But that doesn’t mean they need to compromise on their new home aspirations (even if they’re not on a first-name basis with the Property Brothers).
FHA 203k “Rehab” loans are a tool the savvy REALTOR can use to help their clients finance the cost of modifications like kitchen and bathroom upgrades or a new roof into the purchase price of an existing home. Because renovations are financed into the home loan, the buyer doesn’t need to have as much cash on hand as they would if they purchased the house and then made upgrades.
Rehab loans also work with refinancing options for homeowners who want to add some cosmetic love to their property rather than listing it. Easy stuff like new paint, carpet and faucets or light fixtures can make a big difference – and with refi interest rates being so low, it might make sense to turn home equity into home improvements that create a whole new energy in your living spaces.
At RE/MAX Realty Affiliates, strategies like these are just some of tools and education we provide agents who are serious about growing their businesses. If you’d like to learn more, I’d love to talk with you – and there’s no better time than now to make that happen, right?