FHA 203(k) Renovation Loans

TWO GREAT OPTIONS TO
FIT YOUR BORROWERS' NEEDS!

1

FHA Limited
(streamline) 203K

Program designed for homes that need
cosmetic repairs that can be completed for under $35K

Max Repair cost $35,000

  • Remodeling which does not require structural repairs
  • Replacement Windows
  • Basement waterproofing (non structural)
  • Interior/Exterior Painting
2

FHA Consultant
203K Full

Program designed for homes that need
more that $35K in repairs and/or structural improvements

Min repair costs of $5,000

  • Full kitchen or bathroom remodel
  • Structural alterations and additions
  • Interior/ Exterior Painting
  • Additions
  • Flooring

About the FHA 203(k) Rehab Mortgage


The 203(k) program enables homebuyers and homeowners to finance both the purchase or refinancing of a house and the cost of its rehabilitation through a single mortgage or to finance the rehabilitation of their existing home.
Ask about our:
• One yr 1040’s
• W-2 only
• Foreign National Programs
• DTIs up to 50%
• No overlays

Product Purpose

The 203(k) program fills a unique and important need for homebuyers. When buying a house that needs repair or modernization,

Homebuyers usually have to follow a complicated and costly process. The interim acquisition and improvement loans often have relatively high interest rates, short repayment terms and a balloon payment.

Type of
203k

The 203(k) program fills a unique and important need for homebuyers. When buying a house that needs repair or modernization,

Homebuyers usually have to follow a complicated and costly process. The interim acquisition and improvement loans often have relatively high interest rates, short repayment terms and a balloon payment.

Eligible
Activities

The extent of the rehabilitation covered by Section 203k insurance may range from relatively minor (though exceeding $50 in cost) to virtual reconstruction: a home that has been demolished or will be razed as part of rehabilitation is eligible, for example, provided that the existing foundation system remains in place. Section 203k insured loans can finance the rehabilitation of the residential portion of a property that also has non-residential uses; they can also cover the conversion of a property of any size to a one- to four – unit structure.

Eligible
Home

  • Remodeling bathrooms or a kitchen, including new built-in appliances
  • Replacing a roof, gutters, and downspouts
  • Adding a family room, bedrooms
  • Replacing flooring, tiling, or carpeting
  • Completing a basement or attic conversion or adding a second story.
  • Expanding or building a garage or carport
  • Renovating a deteriorating property, such as repairing a chimney, termite damage, or structural problems
  • Upgrading plumbing, heating, air conditioning, or electrical wiring
  • Eliminating health and safety hazards, such as removing lead-based paint
  • Making the home accessible to the disabled
  • Installing energy efficient windows or doors
  • Repairing an existing swimming pool

Helpful
Options

If you are not planning to live in the home during construction, you may finance up to six months of mortgage payments during the renovation period. In addition, you may act as your own general contractor or do the actual repair work yourself, if you are qualified. Any money you save this way can be used for cost overruns or additional improvements. You can be reimbursed only for actual material costs, not for your own labor.
Call To Find Out More!