203K Advantage - Home Renovation program
If you are looking to buy or refinance a home that needs a little work, consider the FHA 203k Renovation Mortgage.
The loan program is available for all FHA borrowers. Don't worry about contractors abandoning the job.
With a FHA 203k the bank deals directly with paying your contractor and confirming that no payments are made until the work is actually done.
- Minimum $5,000 in repairs
- Primary Residence Only, No Investors
- Fix Up Short Sales and Foreclosures
- Finance Up to 6 Months Mortgage Payments
- Eligible for Energy Efficient Mortgage Pilot Program
*Items that can be included in addition to the minimum $5,000 requirements:
New cooking ranges, refrigerators and other standalone appliances, painting and other cosmetic repairs, fencing, new walks and driveways, general landscape work, swimming pool repairs
•Aesthetic landscaping when appraiser verifies that the value Increases the dollar-for-dollar cost
•Sidewalk/driveway repair necessary for home access
•Major repair of termite damage,
•Most repairs which require permits
1.One to four unit properties which have been completed (with a certificate of occupancy) for at least one year and are acceptable according to the provisions of local zoning requirements.
Homes that have been demolished or razed as part of the rehabilitation process can be rehabbed as long as the existing foundation system is not effected and remains intact.
2.A home can be moved onto a foundation on the mortgaged property, provided the proceeds from the sale of the previous location are not released until the foundation is properly inspected and the home is satisfactorily attached to the new foundation.
3.Any property the buyer wishes to convert either from single family into a two to four family or from a two to four family dwelling into a single family unit.
4.A manufactured home that was built AFTER June 15th, 1976, and has been on a permanent foundation for over one year. The unit must have been delivered to the site when it was new prior to being occupied.
5.Condominiums and cooperates are NOT eligible.
(New regulations are forthcoming for restrictive use on condominiums for nonprofit organizations)
Apply now or contact an Absolute Loan Officer now for more information.