Thoughts on FHA 203k Loan.
What are your thoughts on using the FHA 203k Loan for renovations?
Is there a catch?
Most Popular Reply
If you have the proper team members in place (lender, realtor, & contractor), a 203k is amazing!
Your only as strong as your weakest link .... select your partners wisely.
The lender needs to have 203k experience and they select the 203k Consultant for you. HUD has 2 databases of the most experienced 203k lenders.
The Realtor should know the HUD required verbiage, timelines, and some nuances of the 203k, as well as how to convince the seller's side to accept the 203k offer
The contractor should know the 203k guidelines, timelines, paperwork, estimate format, MPS & MPR's, etc. There is a database of contractors who have earned an accreditation called a Certified 203k Contractor. They may also be able to point you in the right direction of the other team members you may need.
Hope this helps!