Press ESC to close

PrimeLending BlogPrimeLending Blog

VA Renovation Loans 101

VA Fixer Upper
VA Fixer Upper

With the high prices of today’s housing market, buying a move-in ready home may not be the most affordable option for your financial situation. Your best solution may be finding a home that meets most or all of your criteria but may need a little bit of TLC. Enter the PrimeLending VA Renovation Loan. With a simple and streamlined process, the VA Renovation Loan can turn any fixer-upper into a showstopper.

If you are an eligible veteran, the VA Renovation Loan provides you all the benefits included with a traditional VA loan, such as zero down payment and lower closing costs, plus the ability to roll your renovation costs into the very same loan. It is one loan with one application and one monthly payment – and that could save you money when compared to taking a second loan to pay for the renovations.

Here’s What You Need to Know About VA Renovation Loans:

  • For Veterans Only – while it may seem like stating the obvious, only homes owned, occupied or purchased by veterans are eligible for this type of loan.
  • Pay Off Your Loan in 30 Years – a VA Renovation loan can be financed over 30 years, which translates into a lower monthly payment.
  • You Can Get a VA Renovation Loan at the Same Time as Your Original Mortgage Loan – the two loans are bundled together so if you’re buying a fixer-upper home that needs immediate repairs or upgrades you have the funds to do so at the time of purchase.
  • A VA Renovation Loan is a Better Deal than a Supplemental Loan – Because the loan is rolled into your mortgage, it is one loan with one rate and one payment, instead of paying for a second loan which could be charged at a higher rate; therefore a VA Renovation loan can save you money.
  • Immediately Take Care of Pressing Problems with your Property – This loan can also help you make repairs and upgrades to a home you already own. It’s used to address electrical, plumbing, structural issues, updating kitchens and bathrooms, changing flooring, painting and making your home more energy efficient. It cannot be used for things like putting in a pool, building a patio or adding more rooms.
  • You Can Use Up to 25% of your VA Renovation Loan to Improve/Replace Non-Fixtures – one of the benefits of the loan is you can purchase things like appliances, furnaces or hot water tanks as long as they relate to the original purpose of the loan; that means that you can use the loan to buy a stove if you’re remodeling your kitchen but not if you’re only remodeling your bathroom.
  • Allowable Repairs – the repairs you can make include:
    • Roof (repair or replacement)
    • Paint (interior, exterior and lead paint removal)
    • Kitchen (appliances, cabinets and total overhaul)
    • Electrical (repair, replace, recondition and total system)
    • Plumbing (repair, replace, recondition and total system)
    • HVAC (repair or replace)
    • Flooring, subflooring (tile, carpet and wood)
    • Foundation repair
    • Energy-efficiency upgrades

A VA Renovation Loan with PrimeLending

A VA Renovation Loan is a great home loan option if you’re an eligible veteran and have repairs you need or want to make when you’re buying a house. You can roll the repair cost into the original loan, you have a lot more options in terms of the type of home you can consider buying. It’s also a great refinance option, if you want to take advantage of lower interest rates and need funds for repairs.

Learn more about our renovation options using our Renovation Guide now.

Lady drinking with phone

Get in touch with a loan expert near you.

Learn More

Mandy Jordan

Mandy Jordan is a seasoned professional with over 20 years of experience in the financial services industry, including 8 years in the mortgage industry. She has a true passion for writing and marketing communications strategy, and is known for her expertise in driving business growth, building relationships, and delivering results in highly competitive markets. During her tenure at PrimeLending, Mandy has developed a deep understanding of the intricacies of the mortgage industry. Her comprehensive knowledge of loan products, underwriting guidelines, and compliance regulations has positioned her as a trusted advisor to her colleagues. As a skilled writer and marketing communications strategist, Mandy has honed her ability to craft compelling and engaging content for a variety of mediums. Her strategic approach to content creation, combined with her creativity and attention to detail, has resulted in successful marketing campaigns, thought leadership pieces, and brand messaging that resonates with target audiences. She is also proficient in leveraging social media platforms and digital marketing tools to drive brand awareness and engagement. Throughout her career, Mandy has been recognized for her exceptional communication skills, ability to work in cross-functional teams, and her unwavering commitment to delivering exceptional customer service. She has a track record of building and maintaining strong relationships with clients, partners, and stakeholders, and is often sought after for her strategic advice and guidance. Mandy holds a Bachelor's degree in English from Southern Methodist University, and a Master’s in Business Administration with a focus on Marketing from The University of Texas at Austin. In her free time, Mandy enjoys writing creatively, reading, and volunteering for local non-profit organizations. As a dynamic professional with a unique blend of experience in the mortgage industry, financial services, and marketing communications, Mandy Jordan continues to make significant contributions to the industry and is well-respected for her expertise, leadership, and unwavering commitment to excellence. Her warm demeanor, coupled with her wealth of experience and expertise, make her a trusted professional in her field.

Home Loans Made Simple

For Licensing Information go to: NMLS CONSUMER ACCESS
© PrimeLending, a PlainsCapital Company (PrimeLending)
NMLS ID: 13649

Terms of Use & Online Privacy  |  Licensing Info & Disclosures  |  Fair and Responsible Lending  |  Privacy Notice  |  Privacy Notice for California Residents
Equal Housing Lender

PRIMELENDING A PLAINSCAPITAL COMPANY®, PRIMELENDING®, HOME LOANS MADE SIMPLE®, DISCOVER YOUR BEST®, NEIGHBORHOODEDGE®, LOANTELLIGENCESM and LOANPLICITY® are trademarks, service marks, or registered trademarks or service marks of Hilltop Holdings Inc., licensed to PrimeLending, a Plains Capital Company, for its use. You may not use, display or reproduce them without the prior written consent of Hilltop Holdings Inc. and PrimeLending. Further, you may not remove, obscure, or otherwise modify any copyright, trademark, confidentiality or other proprietary rights notices displayed on, embedded in, or otherwise appearing in any Content offered by, viewed on, or received through this site. All other trademarks identified and contained herein are the property of their respective owners and their use herein does not imply sponsorship or endorsement of their products or services.

In accordance with Section 326 of the USA PATRIOT Act of 2001, PrimeLending NMLS: 13649 is required to obtain a copy of the documents used in identifying our new account customers. This notice is being provided to you for adequate notice given under this act.

Equal Housing Lender