Tips and Tools

Home improvements.
A great investment that pays for itself.

From our Underwriting Team

Energy saving upgrades. A dream deck. A cozy new basement. Whatever the vision, Bridgewater Bank's Reno for More program will help get your clients from new home to dream home. Reno for More allows your clients to finance the purchase of a home and the cost of any immediate renovations to improve the value of the property.

The Reno for More application process is straightforward and broker friendly. Here's what you need to know:

1. Make sure to use the notes section on Filogix to add as much information and detail as possible regarding the renovation. This allows us to assess the value being added to the property after the reno.
   
   
2. When submitting the application, include a detailed costing of intended renovations or improvements (including labour cost components if applicable) as well as copies of building and/or development permits.
   
   
3. This program is best suited for any renovation or improvement with a greater cost of $5,000.00.
   
   
4. The total loan amount is generally based on the lesser of the improved property value or the sum of the purchase price plus direct costs associated with the improvements. Make sure to advise your clients to request a little more than required for the improvements. Once improvements are completed, any remaining holdback will be applied to the mortgage principal.
   
   
5. Where improvements exceed either 10% of the property's 'as is' value or $20,000 additional documentation, including a possible assessment, may be required.
   
   
6. A full appraisal might be required to confirm the 'as is' value and estimate the 'as improved' value of the property.
   
   
7. Improvements should be completed within 3 to 6 months of possession.
   

_{This information and any received via Broker Insight is given solely for educational and informational purposes and should not be taken as advice or as a solicitation from Bridgewater Bank.}

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