FHA 203K Home Loan Renovations

What is a 203k loan and where can we get one? 

Today Lending finances 203k Loans over $125,000.  The 203(k) loan is an FHA mortgage designed for properties that need light renovations.  They are most commonly used for “HUD Homes” that have been foreclosed by FHA.

However, they are not restricted to only foreclosures.

Key Features

 

  1. The FHA 203k loan is a government insured FHA loan program that is used to finance the purchase and renovation of a home.
  2. It is only available for owner occupants. Sorry, no investors.
  3. Decent credit, 640 score, and 3.5% down payment are required.
  4. Minimum Loan Amount:  $75,000.
  5. Frame built homes only. Sorry, no doublewides.
  6. Condos may be eligible on case by case basis.
  7. Buyer selects own contractors for repairs. Sorry, no DIY projects.
  8. An FHA Consultant is required to review repair plans.

This replaces the Electrical Mech. and Plumbing inspection.

  1.  Minimum of $5,000 of repairs must be planned.
  2.  All repairs must be started within 30 days and completed within

6 months of purchase date. Most repairs/improvements are eligible, except luxury improvements such as pools, tennis courts, etc.

 

Contact Today Lending for Preapproval before making offers