203K Streamline Renovation Loan

By
Mortgage and Lending with Guaranteed Rate NMLS# 2611 NMLS #151088

 

Sometimes a buyer loves a house, but they just can't stand that awful wallpaper or carpet.  Maybe they want to update some of the appliances, but they just don't think they can afford it.  With Prospect Mortgage's Streamline 203K Renovation loan, homebuyers can make these minor cosmetic changes with extra monies wrapped into their home loan!

 

  •  Repairs may range from $5,000 to $35,000. 
  •  Loans can go up to 110% of the after-improved appraised value! (Condos limited to 100%)
  •  Requires less documentation than a full 203K Renovation Loan.
  •  Repairs are based on a home inspection, appraiser's HUD required repairs or contractor bids.
  •  No general contractor is required.
  •  The repairs can either be required or optional.

 Acceptable Repairs for the Streamline include:

  • Repair/replacement of roofs, gutters or downspouts.
  • Repair/replacement/upgrade of existing HVAC systems.
  • Repair/replacement/upgrade of plumbing or electrical systems.
  • Repair/replacement of existing flooring.
  • Minor remodeling, such as kitchens, which does not involve structural repairs.
  • Interior and exterior painting.
  • Weatherization: including storm windows and doors, insulation, weather stripping etc.
  • Purchase and installation of appliances, including freestanding ranges, refrigerators,  washers/dryers, dishwashers and microwave ovens.
  • Accessibility improvements for accessibility for persons with disabilities.
  • Repair/replace/add exterior decks, patios, porches.                   
  • Basement finishing and remodeling, which does not involve structural repairs.     
  • Basement waterproofing.                    
  • Window and door replacements and exterior wall re-siding.                    
  • Septic system and/or well repair or replacement.
  • Lead-based paint stabilization or abatement of lead-based paint hazards.

Ineligible Repairs for the Streamline include:

  • Major rehabilitation or major remodeling such as the relocation of a load-bearing wall.
  • New construction (including room additions).
  • Repair of structural damage.
  • Repairs requiring detailed drawings of architectural exhibits.
  • Landscaping or similar site amenity improvements.
  • Any repair or improvement requiring a work schedule longer than six (6) months.
  • Rehabilitation activities that require more than two (2) payments per specialized Contractor.

In today's market, this is the perfect financing solution to be able to purchase a foreclosure or any other property in need of some updating. 

 

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It is always advisable to consult with a knowledgeable lending professional when navigating today's turbulent mortgage and real estate marketplace.  I am committed, qualified and equipped to help you evaluate your options!

 

Also check out:

Conventional Financing Mortgage Program Overview/Updates

FHA Financing Mortgage Program Overview/Updates

USDA Financing Mortgage Program Updates  

 

Programs Include:

 

  • Conventional (Fannie Mae & Freddie Mac)

  • FHA, USDA, & VA

  • Jumbo to $3,000,000

  • Bank Statement Program for Self-Employed Borrowers

  • Foreign National Program

  • Investor Cash Flow

  • Non-Warrantable Condos

  • Georgia Power Leaseholds for Lake Burton, Rabun, & Seed

 

  • ************************************************************************************************************
  • Rodney Mason is a Licensed Branch Manager located in Atlanta, GA.   He can be reached at (404) 591-2453.
  • Providing financing for all cities across Georgia including: Acworth, Albany, Alpharetta, Athens, Atlanta, Augusta, Austell, Avondale Estates, Blairsville, Bloomingdale, Blue Ridge, Bogart, Brunswick, Buckhead, Buford, Canton, Carrollton, Cartersville, Chatsworth, Clayton, College Park, Columbus, Commerce, Conyers, Covington, Cumming, Dahlonega,  Dacula, Dalton, Dawsonville, Decatur, Doraville, Douglasville, Duluth, Dunwoody, East Point, Fayetteville, Flowery Branch, Gainesville, Greensboro, Hampton,  Hapeville, Hinesville, Hiram, Jackson, Jefferson, Jonesboro, Kennesaw, Lagrange, Lawrenceville, Lilburn, Lithia Springs, Macon, Madison, Metter, Morganton, Morrow, Newnan, Norcross, Oakwood, Peachtree City, Pooler, Richmond Hill, Riverdale, Rome, Roswell, Sandy Springs, Savannah, Scottdale, Statesboro, Stockbridge, Stone Mountain, St Marys, Sugar Hill, Suwanee, Thomasville, Thunderbolt, Tucker, Tybee Island, Valdosta, Waleska, Warner Robins, Waycross, Wilmington Island, Winder, Woodstock, and many more.

    Providing financing for all cities across Alabama including:
    Alabama Port, Anniston, Athens, Auburn, Bessemer, Birmingham, Boaz, Bridgeport, Cedar Bluff, Chickasaw, Clayton, Coden, Dauphin Island, Decatur, Dothan, Eufaula, Fairfield, Fairhope, Florence, Foley, Forestdale, Fort Morgan, Fort Payne,Gasden, Grand Bay, Gulf Shores, Heron Bay, Homewood, Hoover, Jasper, Josephine, Madison, Meadowbrook, Midfield, Mobile, Mon Louis, New Hope, Orange Beach, Oxford, Oyster Bay, Phenix City, Prichard, Rainbow City, Saraland, Satsuma, Scottsboro, Selma, Troy, Theodore, Tillmans Corner, Trussville, Tuscaloosa, Vestavia Hills, Warrior and many more.

  • Providing financing for all cities across Florida including: Altamonte Springs, Atlantic Beach, Boca Raton, Bradenton, Cape Coral, Clearwater, Coral Springs, Daytona Beach, Delray Beach, Destin, Fort Lauderdale, Fort Myers, Fort Walton Beach, Gainesville, Hollywood, Homestead, Jacksonville, Jupiter, Key Largo, Key West, Lake City, Largo, Marathon, Mexico Beach, Miami, Naples, New Smyra Beach, Ocala, Orlando, Palm Coast, Panama City Beach, Pensacola, Pompano Beach, Port St Joe, Sanibel Island, Sanford, Sarasota, St Augustine, St Petersburg, Tallahassee, Tampa, Vero Beach, West Palm Beach, & Winter Park, and many more.

 

  • Providing financing for all cities across South Carolina including: Aiken, Anderson, Beaufort, Bluffton, Charleston, Columbia, Conway, Edisto Island, Florence, Greenville, Hilton Head, Johns Island, Myrtle Beach, North Augusta, Orangeburg, Rock, Hill, Spartanburg, Sullivans Island, Summerville, and many more.  
  •   

    Providing financing for all cities across Tennessee including: Athens, Brentwood, Bristol, Chattanooga, Clarksville, Cleveland, Cookeville, Dyersburg, Franklin, Gatlinburg, Greeneville, Johnson City, Kingsport, Knoxville, Maryville, Memphis, Morristown, Murfreesboro, Nashville, Newport, Oak Ridge, Pigeon Forge, Sevierville, and many more

 

All mortgage lending guidelines are accurate at time of post, but are subject to change without notice.  Please call for the most current information.

    

           

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fha 203k streamline

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Rainmaker
400,466
Kerry Lucasse
eXp Realty - Urban Nest Real Estate Group - Atlanta, GA
Your Urban Nest Atlanta Real Estate Consultant

Rodney -- this is great info.  My clients just did the 203k Streamline and it was really challenging, as the loan officer was not 100% familiar with the program.  The next time I have an investor, I will definitely pass along your name and #.

Nov 30, 2008 01:32 PM #1
Rainmaker
421,801
Rodney Mason
Guaranteed Rate NMLS# 2611 - Atlanta, GA
VP of Mortgage Lending - AL, FL, GA, SC, & TN

Thanks Kerry....The loan itself it just a regular FHA loan, but the repair portion and dealing with contractors/bids/etc is what makes it so challenging.  The loan officer really has to have a good understanding of this program for it to go smoothly. 

Nov 30, 2008 01:37 PM #2
Rainmaker
148,763
Tom Plant
WINEormous.com - Murrieta, CA

Rodney - Excellent information. Welcome to active rain. Any friend of Donna's is a friend of mine.

Dec 05, 2008 03:59 AM #3
Rainmaker
375,057
Donna Yates
BHGRE - Metro Brokers - Blue Ridge, GA
Blue Ridge Mountains

Pardon me for butting in Rodney, but Tom is one of Active Rain's treasures and a great guy to know.

Dec 05, 2008 11:28 AM #4
Rainer
2,180
Janet Woodgeard
EXIT REALTY ATLANTA METRO - Lawrenceville, GA

Thank you for coming by the office yesterday to explain this program to our agents.

I am very excited to see one of these contracts through. This is a great way for FHA buyers to get a home in this market !!

Thank you for making the process understandable.

We look forward to a successful year ahead :-)

Dec 10, 2008 12:58 AM #5
Rainmaker
310,253
Sylvia Barry
Coldwell Banker Previews International (#1 Marin_Sonoma_San Francisco_North_Bay) - San Rafael, CA
Marin and Sonoma Real Estate Leading Expert

Hi Rodney - This is posted back in 11/08 - does ths still exist?  How do you qualify for 203 K Loan?

Jan 31, 2009 02:23 AM #6
Rainmaker
421,801
Rodney Mason
Guaranteed Rate NMLS# 2611 - Atlanta, GA
VP of Mortgage Lending - AL, FL, GA, SC, & TN

Sylvia, Yes HUD does still offer the 203K.  Very few lenders actually offer 203K financing though, since it requires so much administrative work after the closing. 

The 203K has basically the same qualifications as a traditional FHA mortgage.  The only real difference is that it allows the HUD required repairs to be made after closing instead of requiring them to be completed prior to closing.

Jan 31, 2009 02:30 AM #7
Anonymous
Jim Coleman

I understand 203k uses partial payments to pay contractors to protect everyone involved but hot would that work with appliances? You can't purchase appliances with only half the total cost. Thanks

Jun 03, 2010 10:03 AM #8
Rainmaker
421,801
Rodney Mason
Guaranteed Rate NMLS# 2611 - Atlanta, GA
VP of Mortgage Lending - AL, FL, GA, SC, & TN

On a Streamline 203K, the most that HUD allows to be paid to a vendor upfront is 50%.  The actual percentage that is paid out varies by lender.  For appliances, the contractor would be responsible for paying for all of the cost upfront.  They would be reimbursed in the final disbursement.

Jun 03, 2010 03:47 PM #9
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Rainmaker
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Rodney Mason

VP of Mortgage Lending - AL, FL, GA, SC, & TN
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