Sometimes it takes a village to close a loan but other times it just takes a qualified loan officer and a great Renovation Loan such as the FHA 203k or the Fannie Mae HomeStyle loan. Here are some recent examples of how the FHA 203k or the Fannie Mae HomeStyle Renovation loan saved the day!
Over in Irving, Texas a buyer found a great starter home that he was able to purchase for $97,000. All is going well until the inspection report showed the home needed foundation work. That’s when I got a call from a disappointed sounding buyer as he thought it would be a deal breaker…I told him to think again! Enter the FHA 203k loan and the day is saved. He was already doing an FHA loan so we just flipped it to a 203k and all was well. Along with getting the foundation repaired the buyer was also able to do some other repairs on the home including light plumbing and electrical. Replacing shingles on the “man cave” out back…AKA the shed. And we have a happy home owner on our hands. Project total about $12,000 in renovation.
- Purchase price was $97,000
- Repair amount was $12,000
- After improved value was $113,000
- Loan amount was $106,700
Next up we helped a current home owner use the FHA 203K as a refinance to roll in repairs and renovate in Dallas, TX. The total project was a little over $72,000 in renovations. First on the list was an overhaul of the entire electrical system and plumbing. Moving down the project list we added new wood floors and all new windows throughout. We finished up with a new kitchen…including cabinets, counter tops and all new appliances! There were many minor repairs done along the way. The best part for this happy homeowner was that with the new appraised value we were able to roll the cost of renovation and all closing costs into the loan! Now that is a great deal!
- Repair amount was $72,000
- After improved value was $195,000
- Loan amount was $170,690
Our 3rd renovation project was done in Humble, TX. This project was completed using the FHA 203k Streamline loan. This project included a new patio door and some HVAC work. Then the fun stuff! Kitchen will get new granite counter tops that will make the peninsula a great place to hang out. New sinks in the kitchen and bathrooms then to finish up, new appliances! – built in oven, cook top, microwave and dishwasher. This was a project totaling $17,500.00 and the homeowner cannot wait to get that kitchen makeover completed!
- Purchase price was $144,900
- Repairs amount was $17,500
- After improved value was $174,500
- Loan amount was $161,645
A whopper of a project was also stated here in Dallas, TX utilizing the Fannie Mae HomeStyle Renovation Loan. The buyers bought a great house that had already been renovated on the inside in most areas. So they were happy to focus on the outside and added a pool, patio and a board on board fence! Stepping back to the inside….replaced carpet with hard wood floors, renovated a bathroom and changed out the paint color throughout the house for a project total of over $92,000. All of this was financed into the purchase of the home and the down payment was only 5%. Looking forward to seeing pictures of the backyard oasis they have created!
- Purchase price was $315,000
- Repair amount was $92,000
- After improved value was $400,000
- Loan amount was $380,000
As you can see the possibilities are endless. Maybe you are a Realtor with a client looking at a home that needs a Renovation Loan OR maybe you have a home that just needs updating…either way my team and I have a loan for you. Give us a call today!