An FHA 203k program allows you to buy home and roll the renovations into the mortgage all-in-one loan. This option is great if you are looking to make your home the way you want it. You can basically do anything you want to the home from changing the layout to adding square footage to minor projects such as painting, carpeting and appliances all with a low interest rate and that is also tax deductible.
To me the reason I believe it is worth it to apply is because of the possibility of creating instant equity. I have had many clients who have gone to closing and had a home worth 10-20 even 50 thousand more than what they bought it for. Most people buy a home and the equity that they get is from the down payment they put in or they build it over time. Using a 203k I have seen hundreds of my clients create instant equity.
For me that is all the reason to apply and see if you can make that happen for yourself!
Director of Renovation Lending
700 East Gate Drive, Suite 400
Mount Laurel, NJ 08054