Mortgage Update: 203K Renovation Program Available

I had some interest last week in the 203K FHA renovation loan which comes into play on purchases of homes that need repair work , such as foreclosures. Since it is an FHA loan, the price range cannot exceed approximately $260,000 in metro Atlanta, but there are plenty of homes that meet that criteria. And there is a good possibility that FHA will increase its loan limits very soon to match conventional loans at $417,000.

Basically the 203K program works like this. The borrower gets bids from contractors on the work that needs to be done to the home. Cosmetic items such as kitchen appliances can even be included, for example. We then take the sales price and the proposed repair amount and base the loan on that figure. The borrower would then close and an escrow account would be set up for the repair items. Typically the work would be completed in 90 days. Once the work is completed, we would send the appraiser back out for a final inspection and the money would be disbursed.

The rate on this program is typically about 1% higher than the traditional FHA loan program. There is no minimum credit score to qualify as the 203K is basically an FHA loan.

Best regards,

Sam Thompson

Loan Officer

Opteum Mortgage

678-742-6631 (office)

1-866-226-2066 (toll free)

770-301-0527 (cell)

678-585-8345 (e-fax)

222 Chastain Meadows Court, Suite 300

Kennesaw, GA 30144

email: Sthompson@opteum.com

web: http://www.opteum.com/sthompson

Author: niaknowles

From Native New Yorker (Brooklyn) to Atlanta Realtor, with a love for architecture and design. Atlanta based Real Estate Consultant working to restore and sell Intown Homes; REO,South West (Westside,West End, Westview Communities 30310,30311,30314,30318 zip codes)

2 thoughts on “Mortgage Update: 203K Renovation Program Available”

  1. This is a great product! I can’t begin to tell you how many buyer I’ve help create the home of their dreams. Thanks for sharing the program with everyone.

  2. Hello, my name is Tubal Waite.I am a contractor who has experience with the 203k program. I would like to offer my services to your company and looking forward to hearing from you. The name of my company is Peachstate Home Solutions and my phone number is 678-886-7878.

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