Let The Rehab Begin

Have you heard that there are great deals on houses in Lakewood right now? Well there are, but along with that deal can come a good amount of fixing up that needs to be done. There are fifty six single family homes available in Lakewood under $100,000.00. However, if you are not a handy man or you don’t have the extra money or time it takes to do all the fixing up a good deal may not be such a good deal. What if there was a way to get a contractor to do all of the fixing up? And, what if you could get it all done within a few months time? 

There is and it’s called a 203k loan and here’s how it works. You have to have loan approval for the cost of the house plus the rehab cost. You also have to be buying the home as an owner occupant. The loan is an FHA product and is structured to allow dollars to go toward home repairs. 

Here is just one example of how this loan helped one of my clients purchased a property in Lakewood for just $75,000.00 and then turned it into a gorgeous home. The property needed a lot of work so my client got busy getting estimates on what it would cost to do the repairs. Her budget for the repairs and updating she wanted to do was about $30,000.00 to $40,000.00. Next she presented the lender with all of the estimate information and the loan process began.     

When it was all said and done she had some plumbing and electrical done, the interior was freshly painted throughout, white and chocolate granite counters installed, espresso cabinets, ceramic flooring, you get the picture. It was very tastefully done and she loves it! This loan can be used on higher priced homes as well. If this sounds like something you would like to take advantage of ask your realtor or lender. 

Monica Woodman

I am a realtor at Prudential Lucien Realty.

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Volume 7, Issue 13, Posted 8:02 AM, 06.29.2011