Time to Remodel? Got a Fixer Upper? The FHA Can Help
August 12, 2011 | 
No Comments | Topics: Opinions
You have lived in or around Dublin, CA for a few years now. With the drop in home values across the Tri-Valley, you have decided to stay in your home for years to come. The bathrooms and kitchen are outdated, and the home can sure use some energy efficient upgrades. If you have been putting off some home improvements because you do not have enough money on hand, wait no more. The FHA has the 203(k) program that offers homeowners loans to rehabilitate or repair their homes, so they can live in it as their primary residences. These loans are endorsed by the government to encourage lenders to offer what would otherwise be considered a risky loan product.
How Does the Remodel/fixer upper Loan Work?
With its high loan limits across Alameda and Contra Costa counties, many homes in Dublin could benefit from the FHA 203(k) construction loan. This program had fallen out of favor during the real estate boom years due to aggressive competition from commercial construction lenders. Since the subprime mortgage crisis, commercial lenders have significantly tightened their lending standards. The limited commercial loan products available now have much lower loan amounts, which make them almost useless for most homeowners in Dublin.
