Your house is an INVESTMENT - It needs some work? Take advantage of such loans as the FHA 203-k loans and or the Energy Efficient Mortgages (EEM)

By
Mortgage and Lending with Social Media - Infinity Home Mortgage Company, Inc

 

203-k loans and Energy Efficient Mortgages

saving money

 

 

Many of us love to cut costs and or save money, right? A 203-k loan or a Energy Efficient Mortgage can help you accomplish this. When buying your new home, it's not only a place to live, a place to create fond memories, but that it's an investment. And probably one of the biggest investments that you will ever make and that you should take it seriously.

Many borrowers are unaware of such programs as the 203 k loan or the Energy Efficient Mortgage. Yes, there are similar programs that can be done with conventional loans, but they usually require a larger down payment and or better credit scores or you will be penalized. So the types of loans that I will be mentioning below are FHA loans with FHA guidelines.

 

 

 

Loan Descriptions :

 

203-k loans - There is no limit to have much in costs for repairs. Keep in mind, there are some lenders that will only allow you up to $100,000 in total costs. At Infinity Home Mortgage, we have no limit.  You can even rebuild an existing house, as long as you can prove that there was a foundation prior to the 203-k loan and that there was a CO (certificate of occupancy) when first built or last sold. Here is a description of what can be included in the costs : 203-k loan repairs

 

203 k streamline loans (203 k or streamline k's) -  The main difference with this loan compared to the regular 203-k loan is that you can do up to $35,000 in repairs and that you don't need a 203-k consultant to right up a report which does cost extra money outside of an appraisal.  But many people fail to realize that the HUD consultant fee can be reimbursed through the mortgage itself.


Energy Efficient Mortgages or EEM's - Not to many people know about this type of financing. If you only wanted to repair anything energy related and or anything green, this method of financing would be a lot cheaper than using a 203-k loan, even a 203-k streamline loan.  More details on Energy Efficient Mortgages. (click on the link)

 

 

Summary : Keep in mind that you must still follow the normal FHA maximum mortgage amounts for the 203-k loans and for the Energy Efficient Loans. The FHA maximum mortgage amounts per counties in each state.  All of the mortgage programs above can be used for both purchases and refinances. The rates on the 203-k loans are slightly higher than the regular FHA loans. The rates are Energy Efficient Mortgages are also the same as regular FHA loans.

 

 

RUMOR ALERTS :

You will hear some people say that FHA loans and especially FHA 203-k loans will take much longer. It today's world or mortgages, all mortgages are taking a little longer. If a good loan officer has properly qualified the borrower and told them what is needed, a loan can still be done in 30 days, from start to finish. When it comes to 203-k loans, you should expect just another 2 weeks, depending on how quickly the HUD consultant gets the report back to the lender.  But I will say this, not every lender is well versed on 203-k loans and you should use someone that is experienced or who has an experienced staff. At Infinity Home Mortgage, we even actually underwrite the 203-k loan in-house, which gives us a lot of control.

 

 

FHA Loans - USDA Loans - VA Loans - Conventional Loans - Which mortgage is best for you?

 

_____________________________________________________________________________________________________

 

follow Jeff Belonger on Twitter               The FHA Expert   

                                                                                                FOLLOW ME ON FACEBOOK

 

 

- FHA Loans - USDA Loans - VA Loans -

- Energy Efficient Mortgages - 

- Conventional Loans - 203 k loans -

- FHA Home Loans - Mortgages -

 

Experience & Knowledge at its BEST !!!

 

 

_____________________________________________________________________________________________________

For more information on FHA loans, please go to this link. The FHA Expert

For important mortgage insight to watch for, please read : Consumers need to be aware of these Red Flags!

HUD

Important Information about the First Time Homebuyers Tax Credit

 

Copyright © 2010 by Jeff Belonger of Infinity Home Mortgage Company, Inc

Posted by

_____________________________________________________________________________________________________________________________

 

 

follow Jeff Belonger on Twitter

 

The FHA Expert's fan page on Facebook     Add Jeff Belonger to your network @ LinkedIN

                                                                            FOLLOW ME ON FACEBOOK

 

 

- FHA Loans - USDA Loans - VA Loans -

- Energy Efficient Mortgages - 

- Conventional Loans - 203 k loans -

- FHA Home Loans - Mortgages -

 

Experience & Knowledge at its BEST !!!

 

 

Follow me on:

Mortgage Myth Busters

 

______________________________________________________________________________________________________________

For more information on FHA loans, please go to this link. The FHA Expert

For important mortgage insight to watch for, please read : Consumers need to be aware of these Red Flags!

HUD

 

For information about FHA myths & FHA rumors, please read : FHA Myths & Rumors

 

Copyright © 2011 by Jeff Belonger of Infinity Home Mortgage Company, Inc

close

Re-Blogged 3 times:

Re-Blogged By Re-Blogged At
  1. Tim Bradford 04/28/2010 06:37 AM
  2. Dagny Eason 04/28/2010 11:53 AM
  3. Gabe Sanders 05/03/2010 12:23 AM
Topic:
Lending / Financial
Location:
New Jersey Camden County Berlin
Groups:
Realtors®
Mortgages
1st Time Buyers
The FHA Mortgage Group
FHA 203-k and FHA 203-k Streamline Loan Group
Tags:
fha loans
203k loans
energy efficient mortgages
fha mortgages
fha home loans
203k mortgages
fha 203k loans
203k streamlines

Post a Comment
Spam prevention
Spam prevention
Show All Comments
Rainer
112,087
Cari Anderson
Danville, CA

Jeff: great summary! I agree - you have to choose a lender that knows what they are doing on the 203k loan. There are a lot more i's to dot and t's to cross.

Apr 28, 2010 05:11 AM #1
Rainmaker
225,508
Tim Bradford
Cleveland, OH
NMLS 250013

Jeff, Thanks for the post.  It is good to see the facts quoted simply like you.  I will be reblogging.  With respect to RUMORS, I have surprised may Realtors about how easy the process can be as long as everyone is willing to work together, understand & Following the rules.   Education before the offer is written is so important.   

Apr 28, 2010 06:30 AM #2
Ambassador
1,289,524
Dagny Eason
Dagny's Real Estate - Wilton, CT
Fairfield County CT, CDPE Homes For Sale and Condo

Jeff - Another fabulous post!    Thanks so much for all of the clarification on the different mortgages!

Apr 28, 2010 11:52 AM #4
Rainmaker
171,862
Vicki Pedersen
Pedersen Real Estate - Riverside, CA
Providing Exceptional Real Estate Service

Very informative post.  I haven't heard of the energy efficient mortgages and went back and read your initial post explaining that type of mortgage. Thanks for providing such helpful information. 

Apr 28, 2010 12:51 PM #5
Rainmaker
70,752
Loan Survivor Real Estate Financing Expert
Purchases, First Time Buyers, Pre-Approvals, Refinance - Birmingham, MI

203k's are probably the best kept secret in the mortgage biz.  Realtors should become familiar with them instead of avoiding them.

Apr 28, 2010 03:17 PM #6
Rainmaker
4,791,149
Gabe Sanders
Real Estate of Florida specializing in Martin County Residential Homes, Condos and Land Sales - Stuart, FL
Stuart Florida Real Estate

Jeff, thanks for the post.  I re-blogged this when I couldn't comment because of the server issues.

May 05, 2010 01:23 AM #7
Rainmaker
564,223
Steve, Joel & Steve A. Chain
Chain Real Estate Investments & Mortgage, Steve & Joel Chain - Cottonwood, CA

Jeff,

Very good information and timely. 203K's are working for those that understand them.

Best Regards,

Steve

May 06, 2010 10:19 AM #8
Ambassador
749,278
Jeff Belonger
Social Media - Infinity Home Mortgage Company, Inc - Cherry Hill, NJ
The FHA Expert - FHA Loans - FHA mortgages - USDA loans - VA Loans

 

I just wanted to thank everyone for the comments and for the compliments... and thanks to those that reblogged this post... sorry that it took me a while to respond to this one..

 

Sep 01, 2010 05:43 PM #9
Post a Comment
Spam prevention
Show All Comments

What's the reason you're reporting this blog entry?

Are you sure you want to report this blog entry as spam?

Ambassador
749,278

Jeff Belonger

The FHA Expert - FHA Loans - FHA mortgages - USDA loans - VA Loans
Ask me a question
*
*
*
*
Spam prevention

Additional Information