How do I incoporate funds to refurbish a deteriorated house as part of the mortgage?

My mother is looking for a house, and many houses that need a lot of work are available, but in the United States it does not seem to be customary to include funds to refurbish a house in a draw down account as part of the mortgage. How would one go about getting a bank in the United States to approve a flexible fixed-rate mortgage that for example, pays $70,000 for the house, plus puts $50,000 in an account to repair and refurbish the house, whereby, within two years, the work on the house must be completed and receipts and bids for contractors must be demonstrated. Is there a precedent for this? Can anyone explain how to approach a banker with this request?

How do I incoporate funds to refurbish a deteriorated house as part of the mortgage?

You are not getting this. Period. They will not give you more money then the house is worth, and it is worth exactly what you are willing to pay for it.

If the house appraises for 120k after you buy it (your purchase will lower any previous appraisal, so you need a new one) then you can take out a second loan for the 50k, if you qualify for it.

Your initial loan is only for the purchase amount.

How do I incoporate funds to refurbish a deteriorated house as part of the mortgage?

You have two problems, no lender is going to lend more than the house is appraised for. 2nd no lender is going to lend on a house that is less than average condition. You will never get a loan

How do I incoporate funds to refurbish a deteriorated house as part of the mortgage?

Buy a home that needs little repair and have your Realtor incorporate into the offer that the seller pay for repairs while in escrow.If you are able to get the house you are looking at,it is still going to cost more than it is worth.