Banks that offer FHA 203(k) loans

[Mithun Bondugula]

Hi,

I am looking to buy a home that had water damage and needs around 50K wort of work fix up. This will be my primary house. The property is in Redmond, Washington.

I was told by my realtor that I will have to get FHA 203(k) loan. I called few local banks here - Washington Federal is one bank that is willing to fund a broken house but their closing costs are as high as 1% of loan amount.

Are there any other banks that offer these loans? Thanks for your help.

Thanks,

Mithun