Who’s it for?
Buyers who want to purchase and renovate a home that is in need of modernization or repair. Low down payment, no cash needed for the repairs, no financing on credit cards…all with ONE loan.
What is it?
The Section 203(k) program is HUD’s primary program for the rehabilitation and repair of single family properties. Section 203(k) fills a unique and important need for homebuyers. When buying a house that needs repair or modernization, homebuyers usually have to follow a complicated and costly process. The interim acquisition and improvement loans often have relatively high interest rates, short repayment terms and a balloon payment.
FHA 203(k) offers a solution that helps borrowers obtain financing that covers both the acquisition and rehabilitation of the property.
Modernization and improvements to the home’s function
Elimination of health and safety hazards
Changes that improve appearance and eliminate obsolescence
Reconditioning or replacing plumbing
Adding or replacing roofing, gutters, and downspouts
Adding or replacing floors and/or floor treatments
Enhancing accessibility for a disabled person
Making energy conservation improvements
Special terms and restrictions apply. Contact us today to learn more about the application processes.