If you are in the market to buy a rehab home with the FHA 203K loan, you’ll need to hire a 203K consultant. Yes, it’s another service that you must pay for, but the 203K consultant is there to make the process easier for you. The FHA 203K loan is a long process that requires a lot of paperwork and has many checks and balances. Having that neutral third party there to help you through the process can be a great thing. Looking for Current Mortgage Interest Rates? Click Here. Keep reading to … [Read more...]
Do all FHA Lenders Offer 203K Renovation Loans?
The FHA 203K loan helps you buy and renovate a home. You can even use it to refinance your current home and have money to renovate it. You will have to exercise caution though as not all FHA lenders offer the 203K program. Even the lenders that do offer it aren’t always the right answer. You want to make sure you choose a lender that understands the program and can execute it flawlessly for you. Compare Offers from Several Mortgage Lenders. So how do you find lenders that offer the loan? … [Read more...]
Using 203K Streamline to Finance Home Improvement Costs
If you have your eye on a home that needs some fixing up, but that you think has great potential, there’s a great program for you. It’s called the FHA 203K streamline program. This loan program gives you funds to buy and renovate a home all in one loan. You don’t have to worry about taking out other loans or racking up your credit cards. The streamline program has certain restrictions, though. You can make home improvements, but they cannot be structural and cannot be too costly. Get … [Read more...]
FHA 203(K) Streamline Eligible Repairs and Improvements
If you want to buy a home that requires a little rehab work, you can with the FHA 203(K) streamline loan. The FHA provides borrowers of this loan with funds to buy and rehab the home. Keep in mind, the repairs and improvements must be minor. If you get too out of hand, you’ll need the full 203(K) loan which requires a lot more paperwork and has many more restrictions. Compare Offers from Several Mortgage Lenders. The FHA 203(K) streamline loan is the perfect option for cosmetic and … [Read more...]
Home Equity Loan or Streamline 203K Refinance?
Do you wish you had the money to make changes to your existing home? Maybe you wish you could have granite countertops, a new roof, or new flooring. Or maybe you are tired of the color of your home, either inside or out, but do not have the cash to get it painted by a professional or the time to do it yourself. You could get a home equity loan and make payments on a second mortgage, but the simple solution is the streamline 203K loan, otherwise known as the rehab loan. This great loan was once … [Read more...]
How Much Equity do You Need for a FHA 203k Refinance?
The FHA 203K refinance helps you remodel your home with little money out of pocket. It sounds too good to be true, doesn’t it? With only 2.25% equity, you can change the look of your home. The lender bases the 2.25% on the future value of your property. This isn’t the value of the home before repairs. It’s the value after you make the desired changes to your home. We discuss how this works below. A Single Close Loan The FHA 203K loan takes the hard work out of remodeling your home. You don’t … [Read more...]
How to Solve Your Most Common FHA Loan Approval Woes
An FHA loan is a commonly-sought mortgage program by potential borrowers who would like to get a home loan but have problems either with their credit score or getting enough money to pay the conventional down payment requirement. An FHA loan is one of the housing programs established by the government to aid a significant chunk of the borrower market who cannot get a conventional mortgage. Because many lenders shy away from the risk of these types of borrowers, the FHA stepped in to cover for … [Read more...]
A Home Rehab Can Take a Wrong Turn
Who does not want to make their home look more beautiful? Home improvements may mean both essential repairs and cosmetic renovations. Every homeowner needs to shell out some cash in order to maintain the property in a reasonably livable state. You’d eventually need to change leaking gutters, or replace moldy, worn-out carpets. Home improvement is a necessary element in homeownership. Homeowners take home rehab as a chance to increase the value of their residence . However, there may be … [Read more...]
What is a Streamlined 203K?
If you want to make changes to your home and include those changes in your mortgage, the FHA Streamlined 203K loan is a great option. If those changes are minor, meaning less than $35,000, you can take advantage of the streamlined 203K. This “easier” version of the FHA loan is a great way to get the changes done to your home that you desire without the many headaches that the standard 203K may cause. In addition to the lower cost of the renovations, there are several other stipulations you must … [Read more...]