FHA 203k Streamline Renovation Loans Are The Perfect REO And Foreclosure Purchase Loans

10 04 2011

 

  • FHA 203k Streamline Home Renovation loans allow homebuyers to finance qualified repairs to produce a “new home” feel with one loan at closing
  • The loan may be used to purchase or refinance a 1-4 unit residential property
  • Renovate and update a home, correct health and safety issues
  • This program is ideal when making an offer on a Foreclosure or Bank Owned home in need of repairs that the seller or bank will not make
  • Rehabilitate up to $35,000 worth of the following, qualified items:
  1. Repair/replacement of roofs, gutters & downspouts
  2. Repair/replacement/upgrade of existing heating, ventilation & air conditioning
  3. Repair/replacement of plumbing & electrical systems
  4. Repair/replacement of flooring
  5. Minor remodeling that does not involve structural repairs
  6. Weatherization, including storm windows & doors, insulation and weather stripping
  7. Purchase & installation of appliances, including free-standing
  8. Improvements for accessibility for persons with disabilities
  9. Lead-based paint stabilization or abatement of lead-based paint hazards
  10. Repair/replacement/addition of exterior decks, patios & porches
  11. Basement finishing & remodeling that does not involve structural repairs
  12. Basement waterproofing
  13. Replacement of windows, doors, and exterior wall re-siding
  14. Well/septic repair
  15. Pool repair for health and safety only, such as an empty pool on a foreclosure sale
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FHA 203k Home Renovation: Homeowners Can Act As “Client Contractors” With FHA 203k Streamline Renovation Loans

14 12 2010





FHA Streamline Refinances Requires NO APPRAISAL For Current FHA Homeowners Who Have No Late Payments On Loan Held For 6 Months Or Longer

12 12 2010

Who qualifies for an FHA streamline loan?

  • Home owners that currently have an FHA loan.
  • Must have the loan for 6 months or longer.
  • No delinquencies on the mortgage in the last 12 months.

Is there an appraisal required?

The thing that sets this loan apart is that there is no need for an appraisal. Certain guidelines are added when you skip the appraisal, but it is still a good deal if your property is reduced in value from your original purchase price. In the event that your value supports an appraisal, doing an FHA streamline with one will allow you to include the closing costs in your loan.

Is this the same as an FHA 203k Streamline?

This is used when the home needs refurbishing to make it livable, available only on purchases. Get more information on the FHA 203k loan program here.

What is a no-cost streamline loan?

No-cost loans are available on just about all loan types, but the catch is you are going to pay a higher interest rate. By choosing to have no upfront costs, you are agreeing to have a higher monthly payment, thereby financing your closing cost. This is not really no cost, but more like deferred costs. Still, it may be a good choice depending on your scenario.

Does the FHA Streamline have Mortgage insurance?

There is no way to avoid it, all FHA loans require mortgage insurance. You can finance the upfront 1% fee, but the anuual.90% is there for several years.

We have just covered a few of the common questions associated with FHA Streamline mortgages. If you have an FHA mortgage and you want to see if you can get a better rate, this may be the perfect program for you. Keep in mind though, that you may have to come in with a few dollars to close your loan if you don’t want to have an appraisal.

 For more:  http://www.stockmarketsreview.com/realestate/2010/12/09/5-fha-streamline-facts-you-need-to-know/