There is a Special Government Home Renovation Loan Program that we offer, the FHA 203K Renovation Loan available in Haslet Texas. This article will explain the little-known special government loan program that is part of FHA (Federal Housing Administration- a department within HUD).
Thanks to this special FHA loan program, a buyer or home owner can do meaningful amounts of remodeling or updates to their new or existing home without the higher cost of a second mortgage. You are not allowed to finance "Luxury items" such as a hot tub or swimming pool through this FHA loan program.
Items such as remodeling cabinetry in kitchens and bathrooms, painting, adding wallpaper, replacing appliances and flooring, or even adding a room to an existing structure (which will increase the value of the homes square footage) are allowed. The biggest advantage with this government loan program is that instead of having two higher interest loans, you can combine your primary mortgage and your rehab costs into one low government loan and interest rate.
The name of this FHA loan program as defined by the Federal Housing Administration is a 203K loan. For more information, please visit the FHA website: http://portal.hud.gov/hudportal/HUD?src=/program_offices/housing/sfh/203k/203kabou Lenders have to be approved by HUD in order to do this loan program.
To avoid delays, it is essential that you go with a lender that can offer in house underwriting and expertise instead of using a mortgage broker due to the intricacies of the loan program. Two types of loan programs within the Haslet TX FHA 203 Loans exist.
The first is what is called a streamline 203K loan. When using a 203K Streamline loan, there can't be any structural improvements and the dollar amount is generally lower (less than $35,000) for a 203K streamline loan. Only basic cosmetic repairs are allowed with a Streamline 203K loan. Items such as painting, plumbing, electrical, and flooring are allowed. A Full 203K loan is the second type of a 203K loan.
A full 203K loan offers structural improvements like adding another room or doing foundation work as well as the ability for the home owner to rehab or renovate their current property. It's now possible to envision new carpeting, paint, a remodeled kitchen or bathrooms and lighting when looking for your new home and have the home of your dreams, which will give you much more flexibility in your home purchase or to remodel your existing home.
For more information on renovation or rehabilitation of your home using Haslet TX FHA 203 Loans or surrounding areas please contact Joy Bates, Senior Mortgage Banker at 817-860-3232, email Joy: joybates@leader1.com or visit our website at http://legacyfinancial.com to request more information. Joy does loans all over the state of Texas.
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