Is a Renovation Loan Right for You?
An FHA 203(k) loan simplifies the home renovation process by allowing you to borrow money for your home purchase and home renovation costs using only one loan. In other words, an FHA 203(k) loan allows you to finance both the purchase of a house and the cost of turning that house into your dream home, through a single mortgage. FHA 203(k) loans are backed by the federal government and are a great loan option for those who want to purchase a home and perform upgrades, repairs, remodel or customize to their needs and wants.
While the idea of purchasing a fixer-upper and transforming it into your dream home may seem great in theory, the reality can be harsh once the true cost of a home remodel start sinking in. Unfortunately, many homeowners give up on their dream of designing the perfect home, one renovation at a time, because they automatically assume the project will be unaffordable. That’s where an FHA 203(k) mortgage loan comes in.
If you plan to purchase a fixer-upper or need to make improvements to your existing home, an FHA 203(k) loan may be the perfect rehab loan for you. By folding the construction costs into your home mortgage, an FHA 203(k) loan limits your loan closing costs with just one loan that provides you the necessary funds to buy a home and make the desired repairs or improvements on that home.
An FHA 203(k) loan simplifies the home renovation process. FHA 203(k) loans are backed by the federal government and are typically given to buyers who want to purchase a home and perform upgrades, repairs, remodel or customize to their needs and wants.
HomeBridge Financial Services has a nationwide team of 203(k) Mortgage Loan Originators who are helping buyers just like you take advantage of the opportunities supported by this program, including:
- Those interested in purchasing a fixer-upper home that’s in need of upgrades, repairs, or larger renovation projects, even if the home is being sold “as-is”.
- Those who are purchasing a foreclosed property from banks, housing agencies, and government-sponsored enterprises, as well as short-sale properties.
- Homeowners who would like to refinance with today’s low rates and get the funds they’ll need to transform their current home into their dream home.