Obtaining a renovation loans can be a smooth process. One of the best ways to help the process move smoothly is to have all the documentation ready for the lender.

What documents are required to obtain approval for the new renovation program?

For the Property

• Detailed breakdown of work to be done – along with costs estimates and copy of the contract and estimated timing to complete
• Details of the existing financing against the property
• Building permits will be required for major renovations
• Plans/drawings of renovations – if available

 For the Borrow

• Personal income confirmation
• Personal net worth statement

Remember renovations and upgrades do not always go as planned.  To save grief and aggravation…may I suggest you do the following:

• Make sure you are clear on what you what to do.
• Prepare a budget, and always allow for costs over runs…unless you get a fixed price contract which would be one of the best ways, and then you know exactly what the costs will be.
• Once you have an idea of what you want, you contact 2 to 3 contractors to get quotes for the work.  Ask for references……remember, the lowest price is not always the best deal.
• Pay as you go, do not pay 100% for the job upfront. You pay a determined amount to start (deposit) and the balance as the work progresses.

N.B. The more information that you provide the lender, the faster you will get an answer!