🛠 How to Buy and Remodel an AFH with Just One Mortgage
Thinking of buying a home for your Adult Family Home (AFH) business?
You might be surprised to learn that you can combine your purchase and renovation costs into one mortgage—and it could save you a lot of cash upfront.
💡 Here’s How It Works
Some loan programs—like FHA 203(k) or other renovation loans—let you include remodeling costs in your mortgage.
That means instead of buying a home and then finding cash to renovate it, you finance everything together.
🏡 Example: One Mortgage, One Payment
Let’s say:
- Purchase Price = $500,000
- Renovation Budget = $100,000
- Total Acquisition Cost = $600,000
If you're using something like FHA 203(k), the down payment (3.5%) is based on the full $600,000— not just the purchase price.
Yes, the monthly payment will go up slightly…
But you won’t need to pay out-of-pocket for the renovation.
🤝 Why It Matters for AFH Buyers
This type of financing takes experience to navigate—especially when buying or converting homes for AFH use.
That’s why our team specializes in AFH financing.
We’ve helped new and seasoned providers buy, remodel, and open their homes—all with one smart loan.
📞 Ready to Learn More?
We’ll walk you through every step.
👉 Click here to contact Jon Hanes our AFH mortgage specialist
🎓 Extra Credit: Prep for DSHS Inspections Early
Even before renovations are complete, it’s smart to review Washington State DSHS AFH inspection checklists. This helps ensure your upgrades meet licensing standards—from fire safety to room dimensions—so you’re not caught off guard later.
🗂 Pro Tip: Ask your contractor to build with DSHS code in mind, especially for bathrooms, exits, and accessibility features.