--- title: How to Include Renovation Costs When Buying a New Home description: A purchase plus improvements mortgage from Access Credit Union allows you to add renovation costs to your mortgage. image: https://blog.accesscu.ca/hubfs/iStock-1179026152.jpg --- #003B49 [![AccessCU\_Horizontal\_Colour\_pws-1](https://blog.accesscu.ca/hs-fs/hubfs/AccessCU_Horizontal_Colour_pws-1.png?width=199&height=50&name=AccessCU_Horizontal_Colour_pws-1.png "AccessCU_Horizontal_Colour_pws-1")](https://www.accesscu.ca/) Open main menu Close main menu [Mortgage](https://blog.accesscu.ca/tag/mortgage) [Lending](https://blog.accesscu.ca/tag/lending) # How to Include Renovation Costs When Buying a New Home ![Access Credit Union](https://blog.accesscu.ca/hs-fs/hubfs/Access_LogoMark.jpg?width=45&name=Access_LogoMark.jpg) [Access Credit Union](https://blog.accesscu.ca/author/access-credit-union) [Share this blog post on Twitter](https://twitter.com/intent/tweet?text=I+found+this+interesting+blog+post&url=https://blog.accesscu.ca/how-to-include-renovation-costs-when-buying-a-new-home) [Share this blog post on Facebook](http://www.facebook.com/share.php?u=https://blog.accesscu.ca/how-to-include-renovation-costs-when-buying-a-new-home) [Share this blog post on LinkedIn](http://www.linkedin.com/shareArticle?mini=true&url=https://blog.accesscu.ca/how-to-include-renovation-costs-when-buying-a-new-home) ![](https://blog.accesscu.ca/hubfs/iStock-1179026152.jpg) When you’re looking for a new house, it can be hard to find a place that has exactly what you want. Sometimes a house may need some renovations to make it the home you want. However, did you know that renovation costs can be rolled into your [mortgage](https://www.accesscu.ca/en/personal/borrowing/mortgages) with a purchase plus improvement mortgage? **How does a purchase plus improvement mortgage work?** 1. Obtain quotes for renovation You will need to get price quotes for the work that needs to be done to the home that specifically states what is to be done. If the cost of the home and improvements are within the pre-approved mortgage amount, then Access will move forward. If the purchase price and improvements are more than your pre-approval purchase price, we will review the mortgage approval to ensure you still qualify for the higher mortgage amount. 1. Appraisal An appraisal is needed to establish the value of the home. For purchases involving improvements, the property is assessed in two ways. - The as-it sits value (the current market value of the property) - The as-improved value (the market value of the property after improvements) 1. Move in and start working Once you get possession of your new home, you can start the renovations. In certain cases, the renovations will need to be completed before any funds are released. You may need a plan to carry the cost in advance of getting the funds covered. Often members use a [line of credit](https://www.accesscu.ca/en/personal/borrowing/loans-lines-of-credit#credit-lines) to do this. 1. Double-checking the work and getting your money Once you’ve completed the renovations, you’ll need another appraisal to confirm the home’s improved value. When everything looks good after the progress inspection, available funds from the mortgage will be advanced to you. With a purchase plus improvements mortgage, there are additional costs involved, such as the progress inspection fees and potential legal fees if a lawyer is responsible for disbursing the funds to contractors. We cannot include these costs in your mortgage, so you will need to budget for them separately. If you’d like to learn more about a purchase plus improvements mortgage, [book an appointment](https://www.accesscu.ca/en/contact) with an Access Credit Union mortgage and lending specialist today to get started. ## Related Articles [![](https://blog.accesscu.ca/hubfs/iStock-1351150326.jpg)](https://blog.accesscu.ca/how-to-calculate-your-mortgage-payments) [Mortgage](https://blog.accesscu.ca/tag/mortgage) [Financial Literacy](https://blog.accesscu.ca/tag/financial-literacy) [Lending](https://blog.accesscu.ca/tag/lending) ### [How to Calculate Your Mortgage Payments](https://blog.accesscu.ca/how-to-calculate-your-mortgage-payments) ### Follow five straightforward steps to determine your monthly mortgage payment options. ![Access Credit Union](https://blog.accesscu.ca/hs-fs/hubfs/Access_LogoMark.jpg?width=45&name=Access_LogoMark.jpg) [Access Credit Union](https://blog.accesscu.ca/author/access-credit-union) [Read More](https://blog.accesscu.ca/how-to-calculate-your-mortgage-payments) [![](https://blog.accesscu.ca/hubfs/How%20to%20switch%20your%20mortgage.jpg)](https://blog.accesscu.ca/how-to-switch-your-mortgage) [Mortgage](https://blog.accesscu.ca/tag/mortgage) ### [How to switch your mortgage](https://blog.accesscu.ca/how-to-switch-your-mortgage) The process of switching your mortgage may seem daunting, but with the proper research and preparation, it can be a smooth and beneficial process.  ![Access Credit Union](https://blog.accesscu.ca/hs-fs/hubfs/Access_LogoMark.jpg?width=45&name=Access_LogoMark.jpg) [Access Credit Union](https://blog.accesscu.ca/author/access-credit-union) [Read More](https://blog.accesscu.ca/how-to-switch-your-mortgage) #### Connect with Access Credit Union Follow Access Credit Union on social media for financial advice and news from our member community.  [![facebookwhite\_64x64](https://blog.accesscu.ca/hs-fs/hubfs/facebookwhite_64x64.png?width=45&height=45&name=facebookwhite_64x64.png)](https://www.facebook.com/AccessCreditUnion) [![linkedin](https://blog.accesscu.ca/hs-fs/hubfs/linkedin-6-64.png?width=45&name=linkedin-6-64.png)](https://www.linkedin.com/company/access-credit-union)[![instagramwhite\_64x64](https://blog.accesscu.ca/hs-fs/hubfs/instagramwhite_64x64.png?width=45&height=45&name=instagramwhite_64x64.png)](https://www.instagram.com/accesscreditunion/)