Alternatives to 203k?

[Jason Polykoff]

Hi BP!

I've done a lot of research into FHA 203k loans. The idea of purchasing a home to live in that could also be an investment is intriguing. FHA's 3.5% down is hard to pass up, especially if you can couple it with a 203k loan. However, almost everyone I have spoken to, including lenders, say that it is a nightmare... paper work, inspectors, FHA officers, contractors, timeline, etc. So I have a few questions...

1) Does anyone have experience with 203k loans and can share a little about their experience?

2) Is there anything else out there that comes close to 3.5% down on the property and construction? What alternatives are there for live in properties?

Thanks BP!