Loan Info: An important tool for community and neighborhood revitalization, the FHA 203(k) loan offers flexible qualifying and low down payments:
- FHA downpayment (3%)
- Flexible credit qualifying
- Assumable loans
- Finance up to 6 months of mortgage payments
- Purchase or Refinance and Improve all in one loan
The 203(k) Loan Program offers borrowers the resources to rehabilitate a home that may be in need of repair, either the home that they currently live in, or that special fixer-upper opportunity. One single loan is used to pay for the purchase (or refinance) and the cost of renovating the home.
Made available to certain lenders by the U.S. Department of Housing and Urban Development (HUD), the FHA 203(k) program has already provided many buyers with the funds necessary to buy their first home, or greatly improve a move-up home. The FHA 203(k) loan is available to borrowers of all income levels, to homeowners who plan to occupy the house, and for homes with one to four units.
Types of 203(k) Loans:
30 or 15 year fixed rates
One year ARM
Assumable to a qualified buyer, with no money down.
For complete set of rules and official government information on the 203(K) loan program, please visit the HUD website.
