Using the FHA 203k Loan Program to Build Equity
Using the FHA 203k loan and hiring an experienced real estate agent with knowledge of the area your are purchasing in will help ensure you are in a nice equity position after the rehab is complete.
In this instance, the buyer had an equity position of about $99,000.
This can provide a buffer against a downward housing market.
Not all FHA 203k projects result this way, but the right property and upgrades can make it happen!