A Special Government Home Renovation Loan Program with FHA 203K Renovation Loans offered in Lakewood CO.
Many are not aware of a special government loan program that is actually a part of FHA (Federal Housing Administration- a department within HUD). This FHA loan program allows the buyer or existing owner of a home to do significant amounts of remodeling or updating to their home without a higher cost second lien.
The loan program does not allow for "luxury items" which are defined as items like a swimming pool or hot tub, etc. But you can repaint, replace flooring, remodel cabinetry in kitchens and bathrooms, add wallpaper, replace appliances and even add a room to an existing structure (which can significantly add to value as you increase the square footage of your home).
Many advantages exist with this government loan program but the biggest is the ability to have all of your acquisition or refinance loan together with your improve loan in one low interest rate instead of two separate governments loans that are always of higher interest rates.
A 203K Loan is the name of this FHA loan program as defined by the Federal Housing Administration. Visit the FHA website for more information.
HUD must approve lenders before they can do this loan program. To avoid delays that brokered loans in this niche create, 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.
There are two types of loan programs within the FHA 203K Renovation Loan for Lakewood Colorado. A streamline 203K loan is the first. 203K streamline loans tend to have lower dollar amounts and you can not make any improvements on structure. Except for basic cosmetics among other things that are allowed on a streamline 203K Rehab Loan.
The second type of 203K loan is called a Full 203K loan. The full 203K loan offers the ability for the home owner to renovate or rehab their property including structural improvements, like doing foundation work or adding another room, etc.
When looking for your dream home you can envision a remodeled kitchen and bathrooms, new carpeting, lighting and paint with this Full 203K loan which could allow you to remodel your existing home or give you more flexibility in your home purchase.
For more information on renovation or rehabilitation of your home using a FHA 203K Renovation Loan for Lakewood Colorado or surrounding areas please contact RJ Baxter, Senior Mortgage Banker at 303-670-0137 or log on to http://www.cohomesandloans.com and request more information. RJ does loans all over the state of Colorado.
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