The 203K
What’s the 203K and what makes it special?
Most mortgage programs offered today provide permanent financing that will only allow you to borrow based on the purchase price or current value of the property. If it needs work, the home is normally “de-valued”. The 203K Renovation Loan is different. It’s unique in that in most cases the lender is basing the value of your home on the “improved condition” of the home and 203K contractors love the opportunity it provides.
How can that help? It helps because you’re not placing out of pocket cash on the renovation. You’re borrowing the money “before” you renovate!
And, because the program allows current home owners to upgrade their home you can tap into the equity you may currently have in your home. You gain access to the increased equity the house will have when finished. This is most helpful when you are planning larger scale improvements like additions that add square footage to your home or adding a second story. The program allows the lender to advance funds to a contractor(s) as stages of the project are completed until the loan is fully drawn and/or construction is finished.
Find a 203K Contractor
Thousands of homes are available for purchase through the FHA 203(k) Mortgage Loan Program. We invite you to tour this site for step-by-step information and support for the program. We’re passionate about helping you find a home that’s right for you and it’s our goal to help you remodel it to perfection.
Gary Smith
203K Consultant/Energy Rater/Home Builder
9 Responses 
Gary,
I’m a Home inspector and 203K consultant in Central Pennsylvania. I really like your blog and how it is setup. It looks very professional and its full of great information.
Thank you Lindsey, the loan program is helping people every day realize the joy of home ownership and is also helping save our aging housing stock. Register and keep up with our blog posts? Let us know if you have any suggestions for the site or if you’d like to offer suggestions…feel free to leave them here!
Great video! Always staying ahead of the next best thing. Good insight your blog is to consumers!
The CR (certified renovator) designation is needed to repair and paint homes built before 1978 that have been tested positive for lead paint. Home owners should be aware that contractors for hire need this certification. http://bcove.me/c7qwkccp