The Streamline FHA 203k Renovation/Rehabilitation Loan for your Las Vegas home purchase
Turn a once out of reach property, to the homes of your dreams with the FHA 203k loan! There are two versions of the FHA 203k rehabilitation loan:
- Standard FHA 203k Rehabilitation Loan
- FHA 203k Streamline Loan
This post will detail the streamline FHA 203k rehabilitation loan for your Las Vegas home purchase.
First, what is the FHA 203k Rehabilitation Loan?
The FHA 203k Rehab Loan is an FHA loan that will allow you to purchase and renovate a Las Vegas home, all in one 203k loan, with one set of closing costs!
Wrong carpet color, Lack of central air conditioning or a poorly designed kitchen? Don't let these issues stop you from getting and financing the Las Vegas home that’s almost perfect! If you have a vision of the perfect home, this 203k loan that could help you bring that vision to life!
What is the number one benefit of the streamline FHA 203k rehab loan in the Las Vegas market?
The 203k loan will allow you to purchase a home that was previously out of reach and with less competing offers!
Many Las Vegas properties are available for cash purchase only, while some properties will only allow a cash purchase or conventional financing offers. This is typically because these Las Vegas properties are in disrepair and won't pass an FHA appraisal, without requiring repairs to be completed prior to closing.
In most cases, this comes at the cost of the Las Vegas home owner or listing agent. So, many homes are listed this way to avoid the cost or burden of completing those repairs.
This doesn't do you or your clients any good because you or they are qualified for an FHA loan, don't have the larger required conventional deposit, or don't have enough cash to buy the property out right. This eliminates many homes from you and your clients home search. This is frustrating, HOWEVER the 203k loan is the solution.
With a 203k loan, you can make offers on those out of reach properties and there will be no additional cost to the Las Vegas home owner or listing agent. So basically, everyone wins!
What are the FHA 203k streamline program benefits?
- Up to $35,000 in renovations permitted
- Down payment as low as 3.5%
- Family members may pay all of the borrower’s required down payment, closing costs, prepaid expenses and discount points
- Turn Cash only or Cash/Conventional only properties into FHA properties
A Streamline Renovation Loan may also help you sell a home that has been sitting on the market because it lacks central air conditioning, needs another bathroom or has carpeting the buyer just doesn’t like.
What are some examples of FHA 203k streamline allowable renovations in Las Vegas?
- New roof
- Install hardwood floors
- Minor remodel of kitchen or bath
- Purchase of new appliances
- New HVAC
- Repair insect or weather damage
- Upgrade electrical or plumbing systems
- Replace windows
- New carpet or paint
- Finish basement
Is there a difference is qualifying or requirements for a streamline FHA 203k rehab loan?
Per FHA guidelines, there is are only minor differences in qualifying or requirements. In most cases, if you can qualify for an FHA loan, you should be able to qualify for the 203k version.
However, many 203k lenders put additional conditions and overlays on their 203k financing which make it harder to qualify for. That is not the case at W.J. Bradley Mortgage Capital Corp.
This sounds like a great program, why aren't more people doing the FHA 203k loan?
First, most Las Vegas lenders simply do not know HOW to do the 203k loan or think the process is too involved to learn.
Second, many Las Vegas home owners and listing agents are under the false impression that the 203k loan financing takes a long time to close and requires a lot of effort on their part. However, if you use the right 203k lender, that is not the case.
So, what should you expect from your Las Vegas FHA 203k lender?
You should expect your Las Vegas 203k lender to CLOSE QUICKLY and have in-depth knowledge of expertise of the FHA 203k loan and it's process!
Contact me today to learn more about the benefits of a 203k Renovation Loan!