If you want to buy a home that needs work, consider a loan program that allows you to include a Renovation Budget in the purchase of the home.
The 203(k) Renovation Loan may be able to help you get the home you've always wanted, by turning a home that's almost perfect into the home that's just right for you. You can purchase and renovate your new home, all in one loan, with one set of closing costs.
Benefits of the standard 203(k) loan include:
1) No limit on repair amount; $5,000 minimum
2) Fees for five draws are included
3) Single-family homes, PUDs and 2-4 unit primary residences are eligible
4) Cost consultant fee may be rolled into the mortgage
5) Several months of Mortgage payments may be included in the loan if the property is not habitable
Don't let the wrong carpet color, lack of central air conditioning or a poorly designed kitchen stop you from getting the home that's almost perfect. If you have a vision of the perfect home, we have a loan that could help you bring that vision to life.
Some examples of allowed renovations are:
Upgrade electrical or plumbing systems
Remodel kitchen or bath
Purchase and installation of new appliances
Repair or replacement of structural damage
Install hardwood floors
New carpet or paint
Energy conservation improvements
These loans are especially great for FHA properties, older homes and REO homes but any home can benefit from some remodeling or cosmetic fixes, to make it your own.
Say you're shopping for a new home, and you keep finding houses that are almost perfect. Maybe the carpets are old and need replacing; maybe the paint is starting to peel; maybe you need a handicap ramp installed; maybe the furnace is just a little too old. Maybe you're checking out the REO or foreclosure and short sale markets and thinking that most of those homes need some work before you'd be happy in one of them.
Those problems don't have to be deal breakers. A 203(k) Renovation Loan can help you take care of those problems and turn a house that's almost perfect into the home that's just right for you. With a 203(k) loan, you can borrow money for repairs and upgrades in addition to your loan for the home itself, all bundled together so you only pay one set of closing costs and make only one payment each month for your financing.
These loans are especially great for FHA properties, older homes and homes bought on short sale or at foreclosure — but any home can benefit from some remodeling or cosmetic fixes, to make it your own. I can explain the details of the program and provide you with guidelines to stick to while you look at houses with your real estate agent, making it easier for you to find a home that will qualify.
We offer two types of 203(k) loans: the Streamline Renovation loan and the Standard Renovation loan
Feel free to call us
Mortgage Advisor, NMLS#247272
2550 Fifth Ave #167
San Diego, Ca 92103