Renovation loan tips for FHA 203k, Homestyle, VA Renovation

On this renovation minute we have three tips this week on how to make your renovation loan a success.
1. Get up close and personal with your contractor. Collect all documents as well as the bid and make sure they have the administrative competency to get you the documents the process demands quickly.
2. Consult your renovation specific loan officer prior to making an offer on any home to make sure that the project and cash to close have been reanalyzed to make sure your offer is what you think it is. There are different closing costs the buyer is responsible for depending on who the seller is i.e. Short Sale, Bank Foreclosure, natural seller …
3. Get a Maximum Mortgage worksheet upfront ( MMW ) these forms spell out all of the costs of a renovation loan that are associated with the renovation escrow account and show all of the true anticipated fees with a Homestyle, FHA 203k or even a VA renovation loan so you know exactly how the process works.