Home Improvement Loans
Home improvement loans can open up new possibilities for your property
A home improvement loan allows you to maximize the potential in your current property by financing updates and upgrades. You can use a home improvement loan to add square footage, update flooring or countertops, install energy-saving enhancements, add a pool and more.
To speak to the Mortgage Department, call 210-945-3300, select option 3, then option 2.
Is there anything I should know before considering a home improvement loan?
Home Improvement loan terms begin at four years and vary depending on how much you owe on your property, the cost of your proposed improvements, the expected value of those improvements and the total property value. For example, if you want to finance up to 115 percent of your home’s fair market value, your maximum loan amount could be up to $75,000. A fifteen year term requires a minimum $40,000 loan amount.
In order to secure a home improvement loan, you will be required to hire a contractor and provide a contract agreement outlining the improvements and showing the cost. If improvement work has already begun on your property, you may not be able to secure a home improvement loan and may want to seek a different financing method (like a personal loan).
Why might a home improvement loan be a good choice for me?
A home improvement loan can open up new possibilities for your property. If you do not currently have equity built up in your home, a home improvement loan can give you the financing you need to move forward with desired improvements.
Fixed-rate that will not fluctuate during the loan term
Make improvements with little to no equity in the home required
Interest may be tax deductible
Ready to apply for a loan? Here's what you'll need to complete the application:
- The amount you would like to borrow
- The number of years you want to finance your loan (term length)
- Your current employment and income information
- Your phone number and email
- Information for joint borrowers you plan to include on the mortgage loan (including date of birth, address, income and employment, Social Security number and contact information; if applicable)
- An idea of the total amount you would like for your loan and monthly payments
For a list of all the documents often required to complete your purchase, download our Mortgage Application Checklist.
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Can I use a home improvement loan to finance an addition to my home?
Yes, a home improvement loan can be used to finance a home addition.
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Can I build a pool with my home improvement loan?
Yes, our home improvement loans can be used to build pools as well as to do other outdoor projects like landscaping.
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Can I be my own contractor with a home improvement loan?
No, our home improvement loans require a contract be executed with a third-party. The contractor cannot be an owner of the property.
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I've already started work on my home. Is it too late to apply for a home improvement loan?
Another loan option may better suit your needs. In order to qualify for the home improvement loan, work could be required to cease for up to 30 days. If you are already in process, you may wish to consider a personal loan or home equity loan.
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Can I use a home improvement loan to pay off additional debts or consolidate debts?
No, a home improvement loan can only be secure for the improvement contract price. However, a home equity loan or personal loan might fit your needs for debt or debt consolidation.
Still have mortgage questions?
Loans subject to credit approval. Rates and terms subject to change without notice. RBFCU mortgage loans are available only on property in Texas. As a safeguard, a 5-day cooling-off period is required by Texas law before home improvement loans may be closed. A 3-day right of rescission is also required after closing before the funds may be disbursed. NMLS# 583215
Federally Insured by NCUA. Equal Housing Lender.
