I have been asked this question often in my dealings with homebuyers. Especially when looking at Short Sales, Foreclosures, and other fixup properties. We have encountered HUD homes and other homes with holes kicked in the walls, windows broken, appliances missing, etc. We have also seen foreclosed homes where not only were the appliances missing, but all of the kitchen cabinets, the sink, the plumbing, the kitchen island and even the toilets were taken. It is hard to imagine the anger and frustration of losing your home after paying thousands of dollars to get in and paying hefty payments for years as well as all of the updates and even the normal homeowner expenses for upkeep, then a lost job or lost health forces you to foreclosure.
Anyway, to the question, “Can I purchase a home and include the renovation costs?”, the answer is yes. One of the best ways is the FHA 203K loan program. It will allow you up to $35,000 for the ‘streamlined’ version and up to $406,000 for the ‘full blown’ version. Give me a call if you would like more information about the program or would like to be contacted by one of my lenders who can also help walk you through the steps to make this happen for you. John Rebchook, of “The Real Estate Insider”, contacted me and others to discuss this before writing this article yesterday. FHA 203(K)nocking down doors. Contact me with this or any other Real Estate questions or concerns you may have. The featured photo is of Steve and Karen Denham after closing on their FHA 203K loan for the rehab of the home they purchased in Montbello. It was the perfect program for them.
Robert McGuire – 303-669-1246