Just the other week I wrote a blog, “Myths about the FHA 203k.” Since then another misconception has come to mind regarding 203k contractors. Many people want to know whom they have to use and if they need to have a special certification to work on FHA 203k projects.
The answer is NO. Neither HUD nor the Federal Housing Administration (FHA) require any kind of special certification or training in order to be eligible to work on a 203k project.
As a lender we do not recommend contractors as it is the job of the buyer or home owner to select the contractor, however, we can provide a list of contractors who we have successfully done 203k projects in the past. I advise that you interview them over the phone and/or in person to decide if one of these is who you would like to work with.
There is also a 203k training program for contractors at 203kcontractor.com. Here contractors get an education on the process and are vetted to make sure they meet the qualifications of a contractor who would be successful and for that reason we do believe and tell homeowners that searching in this database is a good idea as a starting point but we reiterate that selecting the contractor is the sole responsibility of the homeowner or buyer.