How can I finance the purchase of a home that needs renovations?

There are three available options to finance your renovations when buying a home.

1. Use the available equity on your property to finance your renovations. Refinancing your mortgage can be a suitable option to get the money needed for renovations if you have equity on your property.
   
   What is equity? It's the difference between the current value of your home and the balance left on your mortgage.
   
   Good to know:
   You can refinance up to 80% of the value of your home.
   
   
2. Estimate your property value after the renovations. This will allow you to add the estimated cost of renovations to your mortgage financing. It’ll also let you take advantage of a generally lower interest rate on your mortgage. 
   
   
3. Apply for a personal line of credit, a personal loan, or any other type of financing that you can pay off independently of your mortgage. The interest rates on these products are lower than on credit cards.

Want to learn more?

• Compare our different financing solutions.
  
• Read our article on how to finance your home renovations. 
  

Tip: You may be able to take advantage of grants or tax credits for energy-efficient renovation projects and reduce the cost of your project.