how easy is it to do a 203k loan?

Asked by Toomuddyboots, Thu Jul 19, 2012

We have been preapproved for a conventional loan for a HUD owned home, after walking through it we definitely need a 203k loan to do the roof and new furnace ect. My lender has never done a 203k loan before and may still call me today and say they don't do them. Is a 203k loan a hassel to work with? How do you put a bid in when you need these repair done?

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15
Amy Chrisman…, Agent, Florence, KY
Mon Sep 9, 2013
As a Realtor, I personally did an FHA 203k loan and I can tell you it is a process but one that I would do it all over again! I highly recommend contacting Stef Adams who is a hardworking and trustworthy renovation loan officer - she walked me through the entire process and does a great job. Organization is really key along with choosing a great contractor. I also can recommend a great FHA home inspector if needed.

You can contact Stef Adams at 859-578-3918
https://www.hslcincinnati.com/stefanie-adams/content/about_me.html
Web Reference:  http://www.NKYRealtorAmy.com
1 vote
I also have used Stef Adams for a 203k loan and would highly recommend her.
Flag Mon Sep 9, 2013
Scott Baker, Agent, Cincinnati, OH
Thu Jul 19, 2012
A 203k is a great product but it will require you to be patient. It isn't a hassel, it's just that it's a specialty product that requires expertise.

WHENEVER i have a client who needs a 203k I refer them to Brent Zuch of Western Ohio Mortgage, 513-477-3834, brentzuch@gmail.com. You can also text to that number.

He's been doing mortgages for over 15 years and has closed every buyer that he's pre approved for me.

Just so you know, if you are looking at HUD houses there is a way to tell if they will pass regular FHA 203B loans, 203b with repair escrow or 203k only BEFORE you go walk through them....

Scott Baker, REALTOR
ERA Real Solutions

513-227-5897 call or text
sbkaer13.sb@gmail.com
1 vote
Mark Richard…, , Cincinnati, OH
Fri Sep 20, 2013
203K loans are very easy to do. The hard part is getting the buyer to supply all the information needed. Stay away from mortgage brokers and deal with a HUD approved direct lender.
0 votes
Jim Basquette…, Agent, Cincinnati, OH
Mon Sep 9, 2013
I do not recommend using a lender who has not done a 203k loan. I recommend Stef Adams as Amy Chrisman suggested
0 votes
Thanks for your support Jim - she is very knowledgeable and does great work!
Flag Mon Sep 9, 2013
Dana Lindberg, Both Buyer And Seller, Phoenix, AZ
Sat Sep 7, 2013
Talking to experts makes getting approve with 203k loan easier. I found a site which will give you a detailed guide and other valuable information about 203k loan. Check out http://www.cfs203k.com.
0 votes
Thomas Young, Home Buyer, Phoenix, AZ
Fri May 24, 2013
From my experience with 203k loans, the best advice is to use a lender that offers assistance via third party with 203k processing.
This shortens the closing time by weeks. Try http://www.cfs-mortgage.com/203k for more information.
0 votes
Pbs, Home Buyer, Cincinnati, OH
Thu Jul 26, 2012
Please call Dustin Swigart from Wells fargo. He is Great and has helped me secure a 203k hassle free. 513-907-5766
0 votes
Pbs, Home Buyer, Cincinnati, OH
Thu Jul 26, 2012
Please call Dustin Swigart from Wells fargo. He is Great and has helped me secure a 203k hassle free. 513-907-5766
0 votes
Lenderbradfo…, , Cleveland, OH
Thu Jul 19, 2012
The key is to deal with a lender that is familar with the 203k loans.
Web Reference:  http://www.Ohio203k.com
0 votes
Suzanne MacD…, Agent, Morristown, NJ
Thu Jul 19, 2012
It's no more difficult than getting a regular FHA loan except you have to do a little more work. You have to get a 'before and after' appraisal so the bank can determine what the value of the property will be after the repairs and renovations are complete and you have to get a good cost estimate. You will need to have a licensed contractor oversee the work and get it completed within six months. The lender will assign a project manager or sorts which will be nice for you since it puts a level of supervision between you, the client/borrower and the contractor. The 203K is an EXCELLENT product for buyers who want to build some 'sweat equity' in their new home. You will have made a wise decision if you go that route.
0 votes
Stephen Shie…, Agent, Cincinnatiq, OH
Thu Jul 19, 2012
check with your lender. If they can do 203k's they can lead you thru the process.
If not, give me a call and I can direct you to 203K lender
Stephen Shields, SRS
Elite Club Award
Sibcy Cline Realtors, Eastgate Office
792 Eastgate South Dr, #800 Cincinnati , OH 45245

Cell: (513) 236-3881 E-Fax: 513-985-3545 Office: 513-752-4000 E-mail: sshields@sibcycline.com
0 votes
James Deskins, Agent, Worthington, OH
Thu Jul 19, 2012
They can be difficult and I wouldn't use a lender who's never done one. You need a lender who knows how to do them or it will be very difficult. They cost more and take a lot more work on the buyer's end. You may be able to do a 203K Streamline, which is more simple. I can't stress enough: find a lender who knows how to do them.
0 votes
Duane Johnst…, Agent, Uniontown, OH
Thu Jul 19, 2012
A 203k can be a bit of a hassle and can take longer to close the loan. So having a loan officer that has done them before does help.
Good Luck,
0 votes
James Gordon…, Agent, Hamilton, OH
Thu Jul 19, 2012
Talk to your Realtor® and see who they recommend for a 203K. You have to be working with a Realtor® to purchase a HUD home so that ould be your first contact.

203K loans are a little more work but you shouldsee an equity payoff.
0 votes
Laura Feghali, Agent, Stamford, CT
Thu Jul 19, 2012
Hello Toomuddyboots,
I suggest that you contact another lender who has done 203K loans to explain the process and to determine if the property qualifies. That way you can better determine your repair costs.

Good luck to you!

Laura Feghali
Prudential Connecticut Realty
0 votes
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