The FHA 203k is a renovation loan program that provides funds for both the purchase and renovation of a home. There are two types of an FHA 203k loan. The first is normal 203k, which is given for properties that need structural repairs such as a new roof or a room addition. The second is the streamlined 203k, which is given for non-structural repairs such as painting and new appliances. The minimum Loan Amount is $5000.
Advantages of FHA 203K Loans
FHA 203K Loans allows buyers with a fico score as low at 580 obtain government long term loans to a rehab distressed property for as little as 3.50% down. In this market with a limited amount of properties available this loan opens the door for properties that could not be considered with conventional financing.
FHA 203K allows the purchase a 4-Unit Property as long as you use 1 unit as your primary residence.
FHA 203K allows the full 3.50% down payment can be a gift.
FHA 203K allows up to 6% in sellers concessions compared to the 3% with a conventional loan.
Eligibility for FHA 203K Loans
The borrower must occupy the residence as their primary residence
The borrower must have at least a 580 credit score in most cases
The borrower must verify income to qualify for the loan
FHA 203K Loan Limits
In San Diego County, the limits are as follows:
- 1 Unit Property – $649,750
- 2 Unit Property – $831,800
- 3 Unit Property – $1,005,450
- 4 Unit Property – $1,249,550
In Orange and Los Angeles County, the limits are as follows:
- 1 Unit Property – $679,650
- 2 Unit Property – $870,225
- 3 Unit Property – $1,051,875
- 4 Unit Property – $1,307,175
In Riverside County, the limits are as follows:
- 1 Unit Property – $405,950
- 2 Unit Property – $519,700
- 3 Unit Property – $628,200
- 4 Unit Property – $780,650
Apply for a FHA 203K Loan today
Parkview Investment & Loan is helping home buyers make it possible to upgrade their homes with FHA 203K loans. We are helping local neighborhoods in San Diego, Chula Vista, National City, Imperial Beach as well as spreading our reach in Orange, Riverside and Los Angeles County as well as throughout the state of California. To understand more or to see how much you can qualify for Call Parkview Investment & Loan today at 858-337-6968 or fill out the quick quote on the right to speak to a FHA 203K professional.