Mortgage Network announces new Jumbo Renovation Loan
Financing available up to $800,000 with down payments as low as 10%
DANVERS, MA (February 20, 2018) — Mortgage Network Inc., one of the country’s largest independent mortgage lenders, announces a new Jumbo Renovation Loan program that enables homeowners to finance the purchase or refinance of a home plus the costs of renovating it, all in one loan.
The Jumbo Renovation Loan program allows for loan amounts that exceed the current Fannie Mae and Federal Housing Administration county loan limits, including the limits in designated high-cost areas. Loans are available up to $800,000, but loan amounts greater than that, including more than $1 million, will be considered.
Single-family homes located in Massachusetts, Connecticut and New Hampshire are eligible for the program, and the home must be the borrower’s primary residence.
“The Northeast has some of the oldest housing stock in the country and also some of the most expensive homes,” said Laurie Souza, national business development manager for portfolio/renovation lending at Mortgage Network. “We felt there was an underserved market and a need to offer home improvement financing that allowed for loan amounts exceeding the Fannie Mae and FHA limits, while also allowing for features that typically fall outside of the box of traditional construction-permanent financing programs offered by community banks.”
“The Jumbo Renovation program is a new portfolio product we were able to develop by leveraging our unique business relationships in these geographic areas,” Souza added. “We are always focused on growing our relationships and developing niche products to satisfy our customer needs in specific markets and to give our loan officers a competitive edge to grow their book of business.”
Almost any improvement type is eligible for the program as long as it is permanently affixed to the property and adds value. Eligible improvements include but are not limited to: interior and exterior enhancements, cosmetic upgrades such as kitchen or bath renovations, floorplan alterations, roof replacements, plumbing or electrical upgrades, and additions, such as extending the house out or up. Renovation costs exceeding $50,000 require a licensed general contractor to supervise the work. However, unlike traditional renovation loans, a plan reviewer or HUD consultant is not required.
The Jumbo Renovation Loan program enables borrower down payments as low as 10% based on the lesser of the acquisition cost of the property or the appraised value of the home after the improvements have been made. Private mortgage insurance is required only if the loan amount exceeds 80% of the property acquisition cost or after-improved value. Borrowers must have a minimum credit score of 680.
About Mortgage Network, Inc.
Mortgage Network, Inc. is one of the largest, privately-held independent mortgage companies in the eastern U.S., with more than 40 branch offices and licenses in 27 states. The company offers a flexible menu of agency direct, portfolio and jumbo solutions and is backed by its proprietary, award-winning technology and a commitment to help mortgage professionals grow their business. Year after year, more than 98 percent of Mortgage Network customers and referral sources say they would recommend the company to family and friends. Based in Danvers, Massachusetts, Mortgage Network was founded in 1988 by Robert McInnes and can be found online at www.mortgagenetworkcareers.com and on Twitter at @MNETMortgage.com.
