When I first met Travis, he was in a bit of a bind. He had this fantastic idea to build an Accessory Dwelling Unit (ADU) on his property. By adding an apartment above his shop, he would be able to bring in some extra income each month. With living costs climbing, it seemed like the perfect plan. This ADU would not only boost his property’s value but also give him the opportunity to rent it out and ease some financial stress.
But, as is often the case, great ideas sometimes come with big challenges. The estimated cost for building the ADU was more than Travis had stashed away, and he wasn’t too thrilled about the idea of taking out a high-interest personal loan. The whole situation was stressful—he knew that without the right kind of financial support, his dream could turn into a financial mess.
That’s where the Renovation loan comes in. This product gives you the ability to finish a basement, remodel a kitchen, and even put in a pool! It’s a solution specifically designed for situations like his—where a homeowner wants to enhance their property by adding an apartment to bring in some residual income, but needs a little help with the upfront costs. The beauty of a renovation loan is that it’s based on the future value of your home, once the work is complete. For Travis, this meant he could borrow what he needed without draining his savings.
We went through the project details, including the budget and timeline, to make sure everything was lined up. Once the loan was approved, the funds were released in stages as the ADU was being built. This way, Travis didn’t have to worry about covering all the costs at once, and we ensured the project stayed on track.
Fast forward a few months, and the ADU was finished. Travis was able to rent it out to a young couple, bringing in a steady stream of income each month. The best part? The value of his property shot up, making the whole endeavor a win-win.
Helping Travis turn his vision into reality was incredibly rewarding. If you’re thinking about building an ADU or tackling any other major home renovation, a renovation loan might be just what you need. Let’s chat and see how we can make your plans come to life while keeping your finances in check.
