Yes — the Luminate Bank Interim Renovation Loan allows an interest reserve to be financed into the loan to reduce out-of-pocket interest during construction.
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Luminate Bank Interim Renovation Loan
Finance Interest Into the Loan?
Yes. The program allows an interest reserve to be included as part of the renovation financing, helping reduce out-of-pocket expenses while construction is underway.
The Luminate Bank Interim Renovation Loan is a short-term, interest-only product during construction. The matrix allows an interest reserve to be financed as part of the renovation financing so borrowers can reduce monthly out-of-pocket interest payments while work is underway.
Eligible renovation costs already include labor and materials, draw and final inspections, title updates, permit fees, contingency reserve, construction management fee, and interest reserve. Financing the reserve simply rolls projected interest into the total loan subject to LTV and maximum loan amount.
Ryan and Steve size the reserve to the construction timeline — generally up to 15 months from closing on a 12-month interest-only interim product — so cash flow stays predictable through draws and inspections.
Same interim mechanics — with interest covered from financed reserve instead of (or in addition to) monthly cash payments.
Related Luminate Bank Interim Renovation Loan guides and renovation programs to compare before you apply.
Ryan & Steve will size an interest reserve against your timeline, LTV, and permanent take-out for the Luminate Bank Interim Renovation Loan.
All loans are subject to credit and property approval. Luminate Bank Interim Renovation Loan program guidelines, LTV limits, loan amounts, and pricing are subject to change without notice and may not be available in all areas. This is not an offer to enter into an agreement. Information is for educational purposes only and is not a commitment to lend.