from my research they have only closed on one 203k loan this year. I am having the same problems in Bloomington il. There is no other bank in this area that does a 203k loan . If the property is listed as a 203k approved you can go for a conventional loan but no other fha loan will be acceptable to hud... more
Your best source of advice regarding your question is your tax professional--consult with him/her for qualifying IRS Codes. Keep in mind that you need to live in the property for a period of 3 years before selling in order to avoid repaying the credit. See IRS link for additional information, under repaying the credit.