FHA 203(k) Property Rehabilitation Loans

Midwest Mortgage Capital is pleased to offer the FHA 203(k) Rehabilitation Loan, which allows for a homebuyer to purchase a home that needs repairs and obtain both purchase and construction financing in one loan product.  The rates for these are competitive, unlike rates for traditional construction loans, and the regular FHA downpayment requirements apply, making this product much more attractive for borrowers who want to retain their cash reserves.   Section 203(k) can also apply to refinances:  homeowners can refinance their existing mortgage and finance improvements up to 110% of the home’s after-improved value.

Program Details:

· Fixed rates for 15- or 30-year terms
· 1-year and 5-year ARMs also available
· Primary residences of 1-4 units only
· Up to six months for rehabilitation to be complete
· Finance up to six months of mortgage payments while rehabilitation occurs
· One-time closing saves you money

In today's market, a 203(k) loan is an excellent option for homebuyers who are looking at bank- or  agency-owned real estate (REO) or who are finding that homes in their price range require remodel or repair.  This type of loan also suits the needs of present homeowners who don’t feel selling their current home is in their best interests, but who want an upgrade or need more space.

It is our Mortgage Consultant's pleasure to guide you through the 203(k) loan process.

To learn more details and to get prequalified for a FHA 203(k) Rehabilitation loan, please contact your local Midwest Mortgage Capital Mortgage Consultant or apply online.