What does Rehabilitation Mortgage mean?

A rehabilitation mortgage is a type of loan used to finance the purchase and renovation of an older property. These loans are typically used to buy and renovate properties that need significant repairs or upgrades in order to be livable or to meet certain code requirements. These loans are often used for fixer-upper properties, and the renovation costs are typically included in the loan amount. This way, the borrower can finance both the purchase and the renovation in one loan.

Related Terms

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