Financing in Grabill>Question Details

Andrea, Renter in Grabill, IN

Can you take out a morgage for more than the price of your home in order to pay for needed repairs and/or appliances?

Asked by Andrea, Grabill, IN Wed Oct 27, 2010

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Desari Jabbar’s answer
This is known as a FHA 203K loan. Talk with a loan officer to see if you'd qualify for this type of financing. Typically, the repairs and appliances have to be $5,000 or more.

Best of luck to you!
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0 votes Thank Flag Link Wed Oct 27, 2010
the FHA 203K Rehab loan is what you are looking for, it is by far the best mortgage option when you are looking to purchase a home and do some repairs. as mentioned before you will need an insured contractor to do the work. in Indiana contractors are not licensed but they are required to carry liability insurance.
0 votes Thank Flag Link Thu Oct 28, 2010
Along with the FHA 203K, there are also "Green Loans" !
You have another helpful option when purchasing or refinancing: you can borrow more to improve your home’s energy efficiency, such as repair leaks in your air ducts (a small expenditure, which can save you up to 30% on your energy bill), energy efficient windows, or new attic insulation and solar power as examples. The savings calculated from energy efficiency can then be treated as income, which can add as much as 2% towards qualifying debt ratios.
Different investors cap the amount they will loan for energy efficient improvements, but most allow for thousands of dollars to help you save on your energy costs and to help the environment.
Look For loan origninator that offer 'Green" loans.

Just another way of looking at improving your home and getting repairs takes care of.
0 votes Thank Flag Link Wed Oct 27, 2010
In addition to what my colleague said, the funds from these loans do not go directly to you. They are usually put into an escrow account and an FHA 203K qualified contractor must do the work..

Good luck.
0 votes Thank Flag Link Wed Oct 27, 2010
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