Do you have the vision for your perfect home but not the cash on hand? Our renovation loans bundle the costs into one simple mortgage, making your dream well within reach.
HOME RENOVATION LOANS
Finance your dream kitchen, bathroom, or home addition with a home renovation loan.
Love your home but not its limitations?
You’ve built a life here. You love your neighbors, the school district, and the memories you’ve made. Moving out just isn’t the right answer for your family, but the thought of funding a major home improvement project feels completely out of the picture.
Have you ever thought that:
- A $50,000+ kitchen remodeling or a much-needed addition seems impossible without draining your life savings?
- Putting a large project on high-interest credit cards or taking out a complex personal loan feels like a risky, irresponsible choice?
If so, you need a way to finance home improvements and your renovation plans without the stress.
Finance your home improvement with a home renovation loan.
A home renovation loan from Directions Home Loan is the financially prudent way to bring your dream renovation to life. It’s a specialized loan designed to fund your home project by allowing you to borrow based on your home’s future value after the improvements are completed.
Unlike a second mortgage or a home equity line of credit (HELOC), a renovation loan combines your purchase or refinance and your renovation costs into a single, manageable fixed monthly payment from the very beginning. This means you can increase your home’s equity and functionality without the headache of multiple loans or the burden of high-interest debt. It’s one simple, powerful tool to build your future.
Find the right renovation loan for your project and budget.
Worried you won’t qualify? We offer a full suite of home improvement loan options to match your unique financial situation and project goals. We’ll help you find the perfect fit.
FHA 203(k) Loan
Perfect for first-time homebuyers or borrowers looking to purchase a fixer-upper. This loan allows you to finance both the home and any home repairs with a down payment as low as 3.5%.
Fannie Mae HomeStyle® Loan
This conventional loan option offers incredible flexibility for a wide range of renovation projects. From cosmetic updates such as a new kitchen or bathroom to major structural additions, the HomeStyle® loan can cover it.
VA Renovation Loan
An amazing benefit for our eligible veterans and service members, this loan makes it possible to purchase and renovate a home with the significant advantage of potentially no money down.
See if you qualify in under 60 seconds.
The USDA designed this program, including its single-family housing and housing guaranteed loan program, to be accessible. These loan funds are specifically allocated to help households purchase homes. While there are a few other requirements, qualification boils down to three main factors:
| Feature | Directions Home Loan | Big banks/Online lenders |
|---|---|---|
| Local expertise | We understand local property values, contractors, and market trends, enabling us to give you the best advice. | You often get one-size-fits-all approach from a call center hundreds of miles away — one that doesn’t understand your local market or your unique needs. |
| Personal guidance | You get a dedicated loan counselor who knows your name, understands your project, and guides you from application to closing. | You’re a number in a queue. Expect to be handed off between departments, repeating your story over and over. |
| Loan options | We offer a full suite of renovation loans (FHA 203(k), HomeStyle®, VA) to find the perfect solution for your specific needs. | They often push you toward a separate, higher-interest personal loan or HELOC that may not be the best choice for you. |
Explore our home renovation loan process.
We know the idea of a mortgage process can be intimidating. That’s why we’ve streamlined every step and will provide a dedicated expert to guide you, making it as simple and stress-free as possible.
Step 01.
Free consultation and planning
Chat with one of our home renovation loan specialists. We’ll listen to your goals, review your finances, and create a personalized plan to fund your project.
Step 02.
Simple, secure application
Our streamlined, tech-enabled application process makes it easy to submit your credit information from the comfort of your home. If you have a question, your dedicated loan counselor is just a call or email away.
Step 03.
Close & start renovating
Once approved, you’ll close on your single loan, and the funds for your renovation will be structured and ready. It’s time to hire your contractor and bring your vision to life!
Blogs & insights
Planning a home improvement involves more than just financing. Here are some expert resources from our blog to help guide your journey.
When to Refinance a Home Mortgage
When to Refinance a Home Mortgage
FHA vs conventional loans: Which option is best for you?
FHA vs conventional loans: Which option is best for you?
Reasons to refinance your home: A comprehensive guide
Reasons to refinance your home: A comprehensive guide
Frequently Asked Questions
How much can I borrow for my renovation?
USDA loans have a small, government-required upfront funding fee that’s paid once (and can often be rolled into the total loan amount) as well as a small annual fee paid monthly. This annual fee is almost always lower than the expensive private mortgage insurance (PMI) on other low-down-payment loans, which can save low-income individuals a significant amount of money each month. This makes the total loan more manageable.
Can I do some of the renovation work myself (DIY)?
In some cases, yes. The ability to do “sweat equity” depends on the specific loan program and the scope of the work. Your loan specialist can explain the requirements and see if your project is eligible.
What's the difference between a renovation loan and a home equity loan (HELOC)?
A renovation loan is based on the future value of your home and is ideal for financing renovations at the time of purchase or refinance, bundling it all into one loan. A HELOC is a line of credit based on your home’s current equity and is a separate, second loan.
How long does the renovation loan approval process take?
Because it involves coordinating with appraisers and contractors, approving a renovation loan typically takes longer to close than a standard mortgage. However, our experienced team works diligently to keep the approval process moving smoothly and keeps you informed every step of the way.
What are your interest rates and fees?
Interest rates and fees vary based on the loan program, your financial situation, and market conditions. At Directions Home Loan, we believe in complete transparency. We’ll provide you with a clear, detailed estimate with no hidden fees as part of your no-obligation personalized plan. Our loan terms are designed to be competitive, offering both fixed rates and flexible monthly payment options.
Customer Testimonials
Ready to see your home’s true potential?
Your dream home is waiting. We’ll help you create a clear, personalized financial roadmap to get you there. There’s no cost and no obligation to move forward.
