Put Our 30 Years of FHA 203k Expierience to Work For You!

In today’s market, there is a wealth of possibilities. Imagine your home just the way you want it. It could be updating with new appliances, a splash of color, carpets, or maybe hardwood floors. Maybe what you need is a new roof, a furnace or even air conditioning. The great news is with a FHA 203k Renovation Loan YOU get to decide.

As a homeowner or prospective homeowner you are bursting with Ideas and an FHA 203k Renovation Loan gives you a golden opportunity. With a Renovation Loan you can build the cost of renovating your home right into your purchase or refinance loan. In most cases when purchasing a new home, the work can be completed before you move in.

How an FHA 203k Renovation Loan works?

An FHA 203k Loan allows you to draw from the potential equity or “as improved value” to finance the renovation of the property. The biggest difference between the 203k and getting a home equity line to remodel your home is that the 203k loan allows you to just get one loan to acquire and renovate your home at one low rate.

What Properties are Eligible?

¡ 1-4 Unit

¡ Condos (interior only)

¡ Existing homes complete for over 1 year

¡ Owner occupied properties only

Will FHA require me to make certain repairs? FHA has a short list of necessary improvement that need to be addressed in all remodels.

¡ Health and safety repairs

¡ Corrections of code violations

¡ Correcting structural deficiencies

¡ Repairs necessary to meet HUD property compliance

¡ Smoke detectors

Which 203k Loan Is Right For Me?

Streamline 203k The FHA 203k Streamline allows you to make up to $35,000 in cosmetic repairs and improvements. Some eligible improvements are:

¡ Repair/Replace roof, gutters and downspouts

¡ Repair/Replace or upgrade HVAC system

¡ Repair/Replace or upgrade plumbing fixtures

¡ Repair/Replace electrical systems and Fixtures

¡ Repair/Replace existing flooring

¡ Repair/Replace kitchen cabinets and counters

¡ Weatherization

¡ New appliances

¡ Painting

¡ Repair/Replace or add deck, patios and porches

Full 203k The Full 203k is meant for larger projects that may cost more than $35,000 to complete and allows for structural repairs and room additions. In addition to the repairs allowed in the Streamline 203k the Full 203k also allows for:

¡ Structural alterations and additions

¡ Complete remodeling of kitchens and baths

¡ Changes to eliminate obsolescence and reduce maintenance

¡ Modernize plumbing, heating, AC and electrical systems

¡ Install or repair well or septic systems

What You and Your Contractor Need To Know

We will need to prove that your contractor runs an actual business. We do this by one or more of the following- Check business name registration with the Secretary of State. Check the yellow pages for a listing under contractors business name Google for a web page.

We may ask for one or more of the following items- Tax Document to prove that the contractor has filed taxes under a business. Liability Insurance/or License Reference for 2 or more suppliers where the contractor may have a credit account.

Your Contractor will need to sign a Waiver of Lien and a Homeowner/Contractor Agreement. These forms are FHA Documents and as such are binding contracts that need to be reviewed carefully.

Any work that may require a permit must have a permit in place and a copy of the permit must be sent to your Renovation Coordinator before closing in order for the initial draw to be released.

A copy of the final signed permit must be sent to your renovation coordinator before final funds will be disbursed.