Thinking about that “Fixer-Upper”?
Ready to turn that “Handyman Special” into your Dream Home?
Home Inspection Professionals can help!
FHA’s Streamline 203(k) MortgageThe “Streamline”(K) Limited Repair Program permits homebuyers to finance an additional $35,000 into their mortgage to improve or upgrade their home before move-in. With this product, homebuyers can quickly and easily tap into cash to pay for property repairs or improvements, such as those identified by a home inspector or FHA appraiser.
The Section 203(k) program is HUD’s primary program for the rehabilitation and repair of single family properties. As such, it is an important tool for community and neighborhood revitalization and for expanding homeownership opportunities.
Section 203(k) fills a unique and important need for homebuyers. When buying a house that needs repair or modernization, homebuyers usually have to follow a complicated and costly process. The interim acquisition and improvement loans often have relatively high interest rates, short repayment terms and a balloon payment. However, Section 203(k) offers a solution that helps both borrowers and lenders, insuring a single, long term, fixed or adjustable rate loan that covers both the acquisition and rehabilitation of a property. Section 203(k) insured loans save borrowers time and money. They also protect the lender by allowing them to have the loan insured even before the condition and value of the property may offer adequate security.
For a list of lenders offering the 203(k) Rehabilitation Program, please visit the HUD website for more details.
If you have questions about the 203(k) program or are interested in getting a 203(k) insured mortgage loan, please Contact Us. We’d love to get you started!