What Is an FHA 203K Limited ( AKA Streamline Loan)?
The FHA 203K limited repair loan is a popular renovation loan made to assist in repairs and light updates for homes with property conditions making them ineligible for conventional financing. Undesirable property conditions might include any health hazard or safety issues, and almost any livability standards that homeowners want to improve, such as floor coverings and other finishes, and even things like new appliances. The FHA 203K Limited repair program is available to use for any home, not just foreclosed properties.
Some of the key benefits are:
- Combining both purchase and remodeling costs in one easy closing
- Borrow up to $35,000 in renovation funds
- No need to get a HUD consultant write-up for the loan
- Ability to address non-structural issues
- Homes not eligible for conventional financing are covered