If you have been passing up buying a home because of the expense of anticipated cosmetic repairs, you are missing out on a great opportunity. Sure, it used to be that if you purchased a home and then applied for a home equity loan to pay for repairs, the result would be two separate loans ( or worse, a mortgage plus a short-term loan for repairs that often had a much higher interest rate). This is not the case anymore, if you qualify for an FHA Streamlined 203(k) loan.
The Department of Housing and Urban Development’s FHA Streamlined 203(k) loan allows qualifying home buyers to finance up to an additional $35,000 into their mortgage to improve or upgrade their home before move-in.
With this product, home buyers can quickly and easily tap into cash to pay for property repairs and improvements, such as those identified by a home inspector or FHA appraiser. The best part is, the additional funds are combined into your mortgage, so you only have to worry about one loan. Of course there are rules and guidelines to follow, and not every repair qualifies.
If you are interested in taking advantage of this great opportunity, please give me a call: (714) 815-6215.
Reprinted MBE CapitalRonSiegel