By Deizshel Setzer

For years many have overlooked a federal program that requires a little sweat equity to make their dream home a reality.  The FHA 203k program.  This programs allows buyers to remodel, revamp and update the home to their specific design.  It will transition an ugly swan into the most amazing beauty.

  • Properties that are sold “as-is” often would not qualify for a standard FHA loan. However, 203(k) loans are designed to improve, update and modernize the home.
  • You can purchase a home that does not require repairs and finance the cost of “modernization” or cosmetic repairs.
  • The loan allows for 1-4 unit dwellings, including condominiums.
  • Where zoning allows, a 203(k) loan can be used to convert a single family dwelling to 2-4 units and vice versa.
  • Up to six months of PITI (principal, interest, tax and insurance) payments can be financed to assist those who would otherwise be required to make double-housing payments. Consultant will determine the number of months house will be uninhabitable for financing of payments. (Consultant K only).
  • The loan can be used for complete reconstruction of a home on its original foundation
  • Properties that are sold “as-is” often would not qualify for a standard FHA loan. However, 203(k) loans are designed to improve, update and modernize the home.
  • You can purchase a home that does not require repairs and finance the cost of “modernization” or cosmetic repairs. (See eligible improvements).
  • The loan allows for 1-4 unit dwellings, including condominiums.
  • Where zoning allows, a 203(k) loan can be used to convert a single family dwelling to 2-4 units and vice versa. (See eligible properties.)
  • Up to six months of PITI (principal, interest, tax and insurance) payments can be financed to assist those who would otherwise be required to make double-housing payments. Consultant will determine the number of months house will be uninhabitable for financing of payments. (Consultant K only).
  • The loan can be used for complete reconstruction of a home on its original foundation

Eligible Improvements/Work for FHA 203k Renovation loan

  • Repair/Replacement of roofs, gutters and downspouts
  • Repair/Replacement/upgrade of existing HVAC systems
  • Repair/Replacement/upgrade of plumbing and electrical systems
  • Repair/Replacement of flooring
  • Minor Remodeling, such as kitchens, which does not involve structural repairs
  • Painting, both exterior and interior
  • Weatherization, including storm windows and doors, insulation, weather
  • stripping, etc.
  • Purchase and installation of appliances, including free-standing ranges,
  • refrigerators, washers/dryers, dishwashers and microwave ovens
  • Accessibility improvements for persons with disabilities
  • Repair/Replace/add exterior decks, patios, porches
  • Basement finishing and remodeling, which does not involve structural repairs
  • Basement waterproofing, including mold removal
  • Window and door replacements and exterior wall re-siding
  • Septic system and/or well repair or replacement
  • Connection to public water or sewage system

If you can imagine it than you can make it happen for more information, contact me at 410-486-3911