FHA 203K Loans allow you to borrow money to both buy and make improvements on your home. They are the perfect option to buy that fixer-upper in the perfect neighborhood.
In order to receive an FHA 203K Loan, you must meet several of the following requirements:
- You must choose a licensed contractor with the proper paperwork, preferably familiar with the 203K Loan process.
- There are max limits set on the loan which vary by county. As of January 2019, the max for Alachua County is $314,827.
- FHA 203K Loans cannot be used for investment properties.
- All FHA required repairs must be addressed in your contractor’s bid.
- Landscaping and luxury items, such as a spa, are not eligible.
- Pools can be repaired with a 203K loan, however, a new pool cannot be installed.
- Your renovation project must be completed within 6 months.
There are additional paperwork and time required for FHA 203K loans because you’ll be working with contractors to customize your home. But for many, the benefits outweigh the extra requirements.
Why Choose an FHA 203K Loan?
If you’ve found a home in the right neighborhood that needs a little love and care, an FHA 203K loan can help. 203K Loans allow you to buy a home and make it your own.
Buying a fixer-upper can seem daunting or impossible if you have to fund renovations out of your own pocket, but these loans make it much easier.
How to Apply in Florida
If you think you may be interested in an FHA 203K loan in Gainesville, call Chris Doering Mortgage. Our home buying experts can help you every step of the way when purchasing a new home.
To learn more about the home buying process, contact us today!