orinda: I'm thinking about a renovation loan, what is my first step? - 02/16/14 02:01 PM
There seems to be a large range of answers when you ask this question. They are not all correct however. 
A consultant's job is to protect the client by forearming them with the cost of their construction prior to going out to bid. Giving them an idea of the cost of their project prior to taking contractor bids. Also to provide a "scope of work" that will aid in the contractor's bidding apples to apples. 
What I have seen recently and more often in recent months:
1) We get called out to see a house and find they already have three contractor … (0 comments)

orinda: How will the FHA lower loan limits affect your business? - 12/11/13 12:30 AM
The Bad News - Well most of you may have already heard that the FHA maximum loan amounts are going in the toilet. Down in many areas by more than $100,000. The high limit of $729,750 is about to become more in line with FannieMae at $625,500. 
This will take a whole bunch of clients out of the market in the higher cost area. Not to worry however.
If you have a purchase of $888,000 and the needed construction comes to $150,000 for a total acquisition cost of $1,038,000. Your options are to pay all cash... most can't but even if they … (0 comments)

orinda: Investor renovation loans are available - 11/12/13 11:48 PM
I get such a kick out of people who say they are "investors" as I use-ta was one. I must hear someone each week that says they just pay all cash then fix them up all cash and do one at a time, over and over again. 
I guess in their eyes that makes them an investor. If they leveraged their investment just a little they might be able to do four at a time with the same amount of money. The power of OPM (other people's money) can rocket a small investor into an entirely different world of investment.
Don't … (2 comments)

orinda: Let's highlight an FHA 203k lender in Walnut Creek - 07/02/13 01:21 AM
Let's highlight an FHA 203k lender in Walnut Creek We have a 203k lender in Walnut Creek that is one of the top 5 FHA 203k lenders in the USA for WFHL renovation loans. I'd like to say I'm proud to be on his team and have him on mine. Ed Rogers and I have a unique distinction of closing every single 203k loan we have started together minus only one where it wasn't our fault but the borrower backed out of the deal at the last minute. Not to many lender / consultants can say that. 
Ed has a system … (2 comments)

orinda: What about mold issues, can we clean that up with a 203k? - 06/15/13 03:42 PM
What about mold issues, can we clean that up with a 203k? Yes, mold, asbestos, pet stains, and anything like that can be part of the FHA 203k repairs. We do mold testing so we see our share of mold.
I once had a job at the "Cat Lady's House" what a smell. One of the most difficult smells to really get rid of for sure. Most houses we deal with show signs of animal stains, how can any home be yours till you change the carpeting and clean that sub floor?

This pipe or flue to the right … (0 comments)

orinda: Can you recommend a contractor for my 203k project? - 06/15/13 12:32 PM
Can you recommend a contractor for my 203k project? Lender's answer "nope" or "no can do" but as a 203k consultant we can recommend contractors and what is more important in my mind is that we also can put contractors who are inadequate for the program on a "do not use list" that lenders tend to honor.
Most contractors who are licensed in states where licensing is required are okay to do the FHA 203k but many of them are not financially adequate.
I had a call earlier today with someone asking for some referrals in the Santa Cruz area of … (2 comments)

orinda: Subsidence can be a problem in Lafayette - 12/10/12 05:37 AM
Subsidence is when the hillside gets so saturated with water that it can't support itself any longer and then the hillside starts to slide and flow much like molten lava might. This is very heavy soil movement. As you can see by the lumping the soil with grass on it is moving much like molten lava might move down a hillside. This is very unstable land. Very wet and you might even sink down into it a bit if you were to walk on it in this wet state.
 This particular example isn't in Lafayette but is a good example of … (2 comments)

orinda: Draw inspections on an FHA 203k loan project in Oakland - 12/04/12 04:42 AM
Draw inspections are inspections that are completed during the project construction. As the contractor performs some work and is ready to get reimbursed for that work.
Who can call for progress payment inspection? The contractor typically will call for it but the borrower may call for one, and the lender may call for one if they feel the progress may be falling behind or there hasn't been a draw inspection each thirty days. That is the rule, One draw each thirty days or you may have the lender calling us to get an inspection.
In reality the lender doesn't typically call … (2 comments)

orinda: FHA loans in Walnut Creek, Orinda, and Lafayette? Of course! - 11/27/12 11:49 PM
There were many years when you thought of an FHA loan as a low income loan for homes in less affluent neighborhoods. Not any longer, at least for a while longer. Better get yours done asap.
Why would you want an FHA 203k loan in any of these areas? Simply this... you don't want to put all the money down to purchase your home. You would like to keep some cash in the bank.
Example 1: Purchase price $850,000 + construction cost of $100,000. If the property requires repairs of $100,000 you won't likely get a loan of any size on … (1 comments)

orinda: What can an FHA 203k loan do for you in Walnut Creek? - 07/14/12 07:12 AM
Take a look at the obvious...

This actually had the look of an old converted double wide trailer don't you agree?
It is now under construction and is shaping up to be a nice rancher. The home is going to look fantastic when complete and anyone would be proud to live here. 


orinda: Sewer lateral inspection and deposit required - Oakland - 06/16/12 04:20 PM
Sewer lateral inspections are an everyday occurrence and that comes part and parcel with a $4500 refundable deposit that each buyer must put in play to insure the work gets completed in a timely manner. This is a requirement on every sale. It is a pretty simple test where a camera is run through the sewer lateral. In some cases the sewer lateral is pretty long and there have been no clean outs installed to to even do the test some "clean outs" must be installed. 
The camera will tell you if there is a break in the sewer lateral that would … (5 comments)

orinda: Can my lender really get an FHA 203k loan closed? - 03/06/12 11:52 PM
That is always a quesiton because there are many out there who profess to be renovation lenders. Don't get me wrong, There are a good many who can and do close them everyday. Today we are going to talk about just one of them. 
Ed Rogers of Wells Fargo Home Mortgage in Walnut Creek, CA. Ed is one of a handful of renovation lenders that understands these programs and that is a mouthful. It says volumes about this guy. I know that when I get a call from Ed that this deal is a "done deal" the borrowers already qualify for … (2 comments)

orinda: Investors - Why would a 203k be better than just paying cash and then getting a construction loan? - 02/20/12 01:48 AM
            That is a no-brainer. There are many loans out there that can help you get a fixer both for owner occupants and for investors. We will look at a few for you, while the FHA 203k loan program is not an option for investors 
         <!--[endif]-->Let’s look first at investor options. You have the opportunity to purchase a fixer, a property that needs repairs thinking you are going to fix it up and make a little money on the side. You likely have another job and this is a part-time effort. BEWARE! You are … (1 comments)

orinda: 203k consultant Walnut Creek - 12/01/11 01:37 AM
The FHA 203k loan program is alive and well in Walnut Creek, Orinda, and Lafayette. Wow. who would have thought. When I got into this product in 1994 the FHA loan limits were so low that the projects were always in low rent districts. 
Today we have many 203k projects where the borrower is buying a property that requires repairs in order to get a mortgage loan, where the values of the homes start at $500,000 and then they add the money for the repairs for another $150,000 and end up with a home that has equity. 
That has always been … (2 comments)

orinda: 203k lender in your area is #4 in the nation - 07/13/11 05:41 PM
Congratulations to Ed Rogers of Wells Fargo as one of the top 4 renovation lenders in the nation and located right here in Walnut Creek CA. 
Ed Roger is a "one of a kind" renovation lender... talk about service to his clients, tops... when Ed puts a 203k loan together you KNOW it will close. While we all have those loans that just never seem to close, I've found that working with Ed we close them more often as promised... 30-33 day up to 45 days... he just closed another one in 42 days this week. 
Keep up the great work … (0 comments)

Mike Young, FHA 203k Consultant 916-758-1809 (203kOnLine.com, covering the USA) Rainmaker large

Mike Young

FHA 203k Consultant 916-758-1809

Las Vegas, NV

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