Fox Business reports this week that an FHA “Section 203(k) loan allows borrowers to wrap the cost of repairs and improvements into a single mortgage.”
Homeowners who buy an older home or foreclosure often have difficulty financing the repairs and renovations. FHA has a home loan program to help these homebuyers, a Section 203(k) loan.
Read the Fox Business article: FHA Mortgage Loan Funds Renovations.
There are two types of 203(k) loans. The first, and more common, loan is known as a Streamline 203(k) and is restricted to repairs or improvements that total $35,000 or less.
The second type of 203(k) loan applies to improvements costing more than $35,000.
Are you purchasing a home that needs repairs?
If you are purchasing a home that needs repairs, the Section 203(k) home loan might be perfect for you.
Please contact us at your earliest convenience, and let us help you find the best home loan to suit your needs.