Part 5 - 203k Loan Diary

This is part 5, keeping you abreast of the trials of my son and his wife (They married half way thru this process) as they try to buy a home in complete disrepair in Southern California and secure a rehab loan (203k). This process is so different from a normal mortgage process, I thought it would help to document the process from the eyes and ears of the buyers and hopefully learn more about the 203k Loan Process in general. I work on the East Coast as a realtor and have talked to buyers about this option but this is the first time I too am going thru the detail of the 203k process! Since it's a National Offering (HUD), what we learn here is invaluable to a realtor, I think. This is a brief update to say things are eerily quiet right now - Consultant and contractor went back and forth but everything seems to have been documented and appraisal has been ordered. Consultant had to complete a "write-up" on what would be completed on the home so the appraiser could come in and determine "FUTURE VALUE". We are hoping the future value will be 10-20% above the costs incurred. That of course, will be determined by the appraiser. We are still waiting the results as of today. They have until Dec 30th to take ownership of the home. If they don't meet that deadline, there will be costs that the buyers (my son and his wife) will incur on a daily basis. SO another update on New Years Day!  Hopefully I'll have good news about the purchase and I'll tell you about some of the great professionals that have reached out to us to help us along the way - Don't miss that installment!! Keep your fingers crossed! If you'd like to catch up on our 203k Construction Loan Diary, the links are below

- Part 1 - 203k Loan Diary 

Part 2 - 203k Loan Diary

Part 3 - 203k Loan Diary

Part 4 - 203k Loan Diary