Today is my introductory post on 203k loans.
Are they difficult to do?
If you don’t know the rules, yes.
Do they cost more?
No, as a matter of fact they can cost less. Yes the rates are slightly higher, consultant fees add to the cost also but you can move into a remodeled
home with equity in the home from day one.
Do they take longer to close?
203k loans can close in 30 to 45 days if your organized.
I am starting a 4 part blog series on the 203k for Active Rain.
Case studies (a couple) and myths and facts. Why it goes wrong and what are realistic expectations.
To be clear, I promote this because I make money doing them but the original reason I became a consultant was I thought it would be good for the country to get people in the many beautiful homes sitting vacant.
There are many questions on the 203k, I will write 4 blog posts and address the the questions that come up most often.
Question 1.
Can I use the 203k for a mixed use property?
Answer.
Yes, but you must check zoning in the properties area and you must meet guideline issues on how much of the space is commercial and how much is residential. The borrower must live in the residential part. It comes down to how much area is devoted to business.
Soon I will add the articles explaining the 203k in simple terms.
203K happy endings
How about a new kitchen with your 203k?
In the last couple of weeks we did
A refi for a veteran who is adding on to his home.
A bank owned purchase that will get new flooring, paint, kitchen cabinets and appliances.
A refi for an aging couple that will use the money for some Universal design modifications.
The 203K is for everyone and you won’t know what it can do for you unless you ask.
So call us and ask the questions you would like answers for.