Loan Programs
FHA 203k Rehab
Requirements
- Terms:
- 30 years, fixed
- Down Payment:
- 3.5% of the final loan amount
- Credit Score:
- 620 minimum
- Mortgage Insurance:
- Yes
- Maximum Loan Limit:
- Yes, varies by county
REPAIR, IMPROVE, UPGRADE WITH MORE TIME AND MONEY
The changes to the FHA 203(k) program will make it a more powerful home finance tool for you to enhance your home!
MORE MONEY:
- Increasing the maximum allowable rehabilitation cost UP TO $75,000 for Limited 203(k) mortgages
These new limits and terms better reflect current costs and project timelines, which should widen the scope of properties that can benefit from the 203(k) program.
MORE TIME:
- Extended the repair timelines
- Limited 203(k) mortgages extended from 6 to 9 months
- Standard 203(k) mortgages extended from 6 to 12 months
- Increasing the allowed number of days that a borrower is unable to occupy the property during the rehab period from 15 to 30 days for Limited 203(k) mortgages
- Permitting mortgagees to increase the number of months of financeable Mortgage Payment Reserves for Standard 203(k) mortgages
FHA 203k Rehab Loan Highlights
One Loan, Multiple Solutions:
FHA 203k loans combine the purchase or refinancing of a home with the funds needed for renovation or rehabilitation, streamlining the process into a single, convenient loan.
Flexible Eligibility:
Benefit from flexible eligibility criteria, allowing a broader range of homebuyers to qualify, including those with lower credit scores or limited financial resources.
Low Down Payment:
Enjoy the advantages of a low down payment requirement, with as little as 3.5% down, making homeownership and renovation more accessible.
Renovation Financing:
Access funds for both the purchase price of the home and the renovation costs, empowering you to customize and improve your property to meet your unique needs.
Wide Range of Repairs and Upgrades:
FHA 203k loans cover a wide spectrum of repairs and upgrades, from minor cosmetic changes to major structural renovations, allowing you to create your dream home.
Energy-Efficiency Upgrades:
Finance energy-efficient improvements to enhance the sustainability and efficiency of your home, potentially reducing long-term utility costs.
Expedited Loan Approval:
FHA 203k loans often have an expedited approval process, allowing you to move quickly on your home purchase and renovation plans.
Stimulate Neighborhood Revitalization:
Contribute to neighborhood revitalization efforts by renovating and improving homes, fostering a positive impact on the community.
Increased Property Value:
Transform your property into a more valuable asset by addressing needed repairs and modernizing features, potentially increasing its market value.
Have Questions? Contact LOAN OFFICER Today!
